Low Carbon Transition Facility

Open to SMEs in all sectors that are committed to transform their businesses toward low carbon and sustainable business operations.

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Eligibility

  • Open to SMEs in all sectors.
  • For Private Limited Company, Sole-Proprietorship, Partnership that fall within SME definition.
  • Business in operation for at least three (3) years and profitable for the past two (2) years.
  • Registered with the Companies Commission of Malaysia (SSM), or respective authorities / district offices in Sabah and Sarawak
  • Malaysians residing in Malaysia that hold a minimum of 51% shareholding / ownership in the business.

Objective

Encourage and support SMEs to transition to low carbon business operations by adopting sustainable practices for business resilience.

Purpose of Financing

To finance Working Capital Requirement (WCR) or Capital Expenditure (CAPEX)* in order to initiate or facilitate the transition to low carbon and sustainable business operations


Note:
1. *Excludes land purchases.
2. LCTF cannot be used to refinance existing credit/financing facilities.

Financing Amount

Sdn. Bhd.:

  • Min: RM100,000
  • Max: RM10 million

Sole-Proprietorship / Partnership:

  • Min: RM100,000
  • Max: RM2.5 million

Financing Rate

Up to 5.0% p.a., inclusive of 0.50% p.a. guarantee fee by SJPP or by CGC

Financing Tenure

Business Financing-i: Up to 10 years

Guarantee Coverage

Up to 80% guarantee coverage by Syarikat Jaminan Pembiayaan Perniagaan (SJPP) or Corporate Guarantee Corporation (CGC)

Availability

Effective 3rd February 2022 until full utilization

Product Disclosure Sheet:

Click here for Product Disclosure Sheet – ENG Version

Click here for Product Disclosure Sheet – BM Version

For enquiries email to: sme-assist@bankislam.com.my

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