BNM's new SME Stabilisation Relief Facility to provide financial support for SMEs affected by ongoing West Asia conflict

Eligible SMEs may obtain financing of up to RM750,000 for a tenure of up to five years. Applications will be open 15 May to 31 December 2026, or until full utilisation – whichever is earlier.

Bank Negara Malaysia (BNM) has announced a RM5bn financing facility to provide assistance to small and medium enterprises (SMEs), including microenterprises, affected by the ongoing conflict in West Asia.

Known as the SME Stabilisation Relief Facility (SME SRF), the initiative will provide working capital support to help viable businesses sustain operations and navigate the current period of uncertainty, BNM said. It was first mentioned by Prime Minister Anwar Ibrahim at a roundtable discussion with CEOs of financial institutions on 21 April 2026.

Eligible SMEs may obtain financing of up to RM750,000 for a tenure of up to five years, at a maximum financing rate of 3.75% per annum (inclusive of guarantee fee). The financing will be supported by guarantees of up to 80% from Credit Guarantee Corporation Malaysia (CGC, Syarikat Jaminan Pembiayaan Perniagaan (SJPP)), particularly for SMEs without sufficient collateral.

Applications for the SME SRF will be open from 15 May to 31 December 2026, or until full utilisation – whichever is earlier; and SMEs will be able to apply directly through participating financial institutions, including commercial banks, Islamic banks, and development financial institutions regulated by BNM.

"In the current environment, BNM strongly encourages businesses that anticipate or are already experiencing financial difficulties to engage early with their financial institutions.

"Proactive action enables banks to work with borrowers to identify suitable solutions, including repayment flexibility, restructuring of financing facilities, or other tailored support measures to help businesses remain viable," the central bank said.

"Financial institutions stand ready to assist and are committed to working constructively with affected SMEs during this period."

BNM added that SMEs will also be able to seek financial advisory, financial education support, and debt repayment assistance from Agensi Kaunseling dan Pengurusan Kredit (AKPK) through programmes such as the Debt Management Programme (DMP) for individuals and sole proprietors, and the Small Debt Resolution Scheme (SDRS) for SMEs.

SMEs that require assistance of clarifications may contact their financial institutions directly or reach out to BNM.

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