THE STAR – 3/8/2021
Bank Pembangunan’s financing scheme to support economic recovery
-----------------------------------------------------------------------------------------------------------------------------------------
KUALA LUMPUR: Bank Pembangunan Malaysia Bhd (BPMB) has offered five financing schemes totalling RM5.6bil, at preferential financing rates, as it is committed to support the country’s economic recovery in line with its developmental mandate.
In a statement on Tuesday, BPMB said the schemes targeting key strategic sectors namely digitalisation; sustainability; maritime & logistics; tourism; and public transportation. BPMB said it welcomes viable projects and businesses in these eligible sectors to submit their applications.
So far these schemes, previously announced by the government, have seen a total of RM2.4bil being approved for utilisation leaving RM3.2bil still available for deployment.
BPMB’s chairman, Datuk Seri Nazir Razak said the Covid-19 pandemic has hit businesses and industries hard. “As a development finance institution, BPMB will play a catalytic role to help businesses and the economy recover.
“It is in unprecedented times like this that BPMB has to step up with counter-cyclical lending by looking at business viability over longer horizons and providing viable companies support over this extreme but temporary downturn.
“Since inception, BPMB has been a strong partner to businesses in support of the development of Malaysia’s economy and improving the lives of the Rakyat. “Guided by our vision and mission statement as Malaysia’s leading developmental partner, we are reinforcing our focus given the crucial needs of the country at the moment.” Nazir said.
Industry digitalisation transformation scheme (IDTS):
The RM1bil scheme is offered for transformation of Malaysia’s industrial capabilities by supporting the right ecosystem for Industry 4.0, to make Malaysia a preferred high technology manufacturing location.
IDTS is open to producers of technology, users and infrastructure providers. The IDTS can be used to part finance the acquisition and development of specific assets, as well as part finance projects and contracts relevant to digital technologies. Financing amount and term are subject to credit evaluation and project requirements
Sustainable development financing scheme (SDFS):
SDFS was created to support government’s efforts to implement the 17 sustainable development goals (SDGs) under the United Nation’s development programme 2030 agenda for sustainable development.
Approximately RM2bil is allocated for this scheme to part finance the acquisition of assets and development of infrastructure. Financing amount and term are subject to credit evaluation and project requirements.
Maritime and logistics (MLS):
MLS is established to support the maritime related activities and services including aerospace and logistic activities. The RM1.5bil MLS is open to finance the acquisition of vessels, aircraft, development of shipyard and hangar, construction of ports, bond warehouse and also logistics related to maritime and aerospace sector. Financing amount and term are subject to credit evaluation and project requirements.
Tourism infrastructure scheme (TIS):
The RM1bil TIS is established to provide financial assistance to existing and new companies dealing with or involved in tourism-related activities and services.
TIS is jointly administered by BPMB and the Ministry of Tourism, Art and Culture to promote the tourism sector, including activities that contribute to the development of Malaysia’s tourism industry including hotels, convention centres, and facilities related to education, medical or agro tourism. BPMB said financing amount and term are subject to credit evaluation and project requirements.
Public Transport Scheme (PTS):
PTS is an RM100mil scheme with the main purpose of increasing the utilisation of public transport by funding improvements and growth of public transport coverage and services.
The PTS is to develop public transports including the expansion of fleets, improvement of public transport facilities such as bus operators, trains and taxis. The PTS can be applied for businesses up to RM50 mil with financing period of up to 10 years.