Scheme Name

Targeted Relief and Recovery Facility (TRRF)

(Effective 1^st December 2020)

Eligibility

• Malaysian SMEs* with at least 51% shares held by Malaysians and has been in operation for at least 2 years; and
• Business registered with the Companies Commission of Malaysia (CCM), authorities/district offices in Sabah and Sarawak or statutory bodies for professional service providers;
• SMEs affected by reintroduction of COVID-19 containment measures since June 2020 within the following sectors:

  a) Service Sectors (except for tourism and tourism-related subsectors) such as:

      i) Personal services (e.g. repair of computers / household goods, laundry, hairdressing, beauty)

      ii) Food and Beverage service activities

      iii) Human Health and Social Work activities

      iv) Arts, Entertainment and Recreation

      v) Wholesale and Retail Trade

      vi) Business services (e.g. Professional, Scientific and Technical Activities; Administrative and Support Service Activities)

  b) Non-Service Sectors

      SMEs in states which are in Phase 2 of the National Recovery Plan (NRP) and are still not allowed to operate in Phase 2**

• SMEs that are recipients of BNM Special Relief Facility (SRF), or PENJANA SME Financing (PSF) are eligible for the TRRF up to an aggregate limit of RM 500,000 per SME.

Note:

* The definition of SME as per SME Corp Malaysia www.smecorp.gov.my

** List of non-services sectors that are required to remain closed even under Phase 2 of the NRP as per latest standard operating procedures issued by Majlis Keselamatan Negara (MKN).

Purpose of Financing

• Working Capital
• Refinancing (up to 30% of existing financing approved)*

Note: Refinancing is not applicable for existing business financing that was granted under BNM’s Fund for SMEs.

Financing Rate

• Up to 3.50% p.a. inclusive of guarantee fee

Financing Limit

• Up to RM 500,000 per SME
• Up to RM 75,000 per Micro Enterprise

Note: The financing limit is inclusive of financing to SMEs with common shareholder(s) of ≥ 20% shareholding. The final approved financing limit is subject to BNM approval, credit assessments by the Bank and Credit Guarantee Corporation Malaysia Berhad (CGC) / Syarikat Jaminan Pembiayaan Perniagaan (SJPP).

Facility Type

• Term Loan

Financing Tenure

• Up to 7 years including a moratorium period of 6 months on monthly instalments.
• Interest will be accrued during the 6 months moratorium / repayment deferment period and spread out over the 6.5 years repayment period.

Guarantee Coverage*

• Up to 80% guarantee coverage for SME
• Up to 90% guarantee coverage for Micro Enterprise

*Guarantee coverage can be obtained from either Credit Guarantee Corporation (CGC) / Syarikat Jaminan Pembiayaan Perniagaan (SJPP).

Collateral

• No collateral needed.

Availability Period

• Up to 30 June 2022 or upon full utilization (whichever is earlier)

Documents Required

1) Business registration documents

2) Latest 6 months bank statements

3) Financial statement (audited and / or management)

4) Copy of IC of directors / partners / shareholders / guarantors