KUALA LUMPUR (May 7): AmBank Group said on Tuesday it has extended its financing facilities under the SME Portfolio Guarantee Scheme worth RM400 million as part of the ongoing collaboration between the banking group and the Credit Guarantee Corp Malaysia Bhd (CGC).

With this new tranche, AmBank will continue to provide up to RM1 million in working capital financing to small-medium-enterprises (SMEs), backed by a 70% guarantee from CGC.

In addition, the banking group will offer its AmBank Pay-As-You-Grow Term Loan (PayG) product, which provides financing ranging from RM20,000 to RM500,000.

AmBank said the PayG, a first-of-its-kind loan bundled with a merchant facility, bases its financing on a merchant’s sales performance from previous months to determine the loan amount.

Merchants will have the flexibility to repay the loan through daily deductions from incoming sales before settlement into their deposit account, making it easier for merchants to access cash and keep their businesses running.

Jamie Ling, the group chief executive officer (CEO) of AmBank said the banking group is committed to supporting the SME ecosystem. 

“SMEs are not only an important customer segment to us, but they also embody the backbone of the Malaysian economy. We are committed to supporting the SME ecosystem, leveraging on the opportunity to tap into the segment’s market potential while contributing to the nation’s economic development," he added. 

The group said a total of close to RM5 billion have been allocated and has benefitted more than 6,000 SMEs since its launch in January 2015 so far. 

Meanwhile, CGC president and CEO Datuk Mohd Zamree Mohd Ishak said that the portfolio guarantee initiatives under the partnership fulfill the group’s mandate to assist unserved and underserved MSMEs leveraging e-commerce platforms.

He added that the partnership promotes the growth and development of MSMEs adopting e-commerce. According to MDEC, the cumulative number of MSMEs adopting e-commerce from 2016 to 2022 has exceeded 1.12 million, surpassing the initial 2025 target of 875,000.