Friday 21 Jun 2024
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KUALA LUMPUR (Nov 2): The government has allocated RM2 billion in matching grants for private equity and venture capital players, in order to invest in strategic sectors.

Additionally, a Co-Investment Fund of RM50 million will be established for the government to invest with the private sector on alternative fundraising platforms such as crowdfunding and peer-to-peer (P2P) lending platforms, said Finance Minister Lim Guan Eng.

“In order to ensure the funds are only channeled to high potential companies, matching grants from the government will only be given to firms that can attract private investment,” he said in his Budget 2019 speech in Parliament today.

Meanwhile, government-led venture capital funds such as the Malaysia Technology Development Corp (MTDC), Malaysia Debt Ventures Bhd (MDV), Malaysia Venture Capital Management Bhd, Kumpulan Modal Perdana Sdn Bhd and Cradle Fund Sdn Bhd, will be synchronised.

Guan Eng pointed out that some RM170 million in funds have already been raised for 450 companies under various P2P platforms approved by the Securities Commission Malaysia so far.

“Almost 10,000 individuals have invested in these alternative fundraising platforms, of which 45% consist of youths aged below 35 years of age,” he added.

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