MEDAC to simplify loan procedures for entrepreneurs

Entrepreneur and Cooperative Development Ministry (MEDAC) will simplify lending procedures for entrepreneurs following various standard operating procedures (SOPs) they need to face in order to start their business.

Its minister Datuk Seri Dr Wan Junaidi Tuanku Jaafar said this was due to many companies being affected by the implementation of the Movement Control Order (MCO) and the Conditional MCO which ends on June 9.

"We have asked the secretary-general of the ministry to do a review so that all the old processes which are complicated and time-consuming, (eliminated). I want to introduce new procedures so that we can simplify the assistance to traders.

"We have opened two bank channels and one cooperative as a financial source namely Bank Rakyat, SME Bank Bhd and Tekun Nasional. When the economy is fully open, entrepreneurs can operate their businesses as quickly as possible," he said.

Wan Junaidi said this after distributing 400 food packages donated by UDA Holdings Berhad (UDA) to employees of the Malaysian National News Agency (Bernama) here yesterday.

Also present were UDA chief executive officer Mohd Salem Kailany, Bernama chairman Suhaimi Sulaiman dan Bernama editor-in-chief cum acting chief executive officer Datuk Mokhtar Hussain.

To date said the minister, SME Bank Bhd has received about 1,000 loan applications and this indicates that many companies are keen to source financial resources provided by the government.

"Many of the required methods and procedures have been simplified including the withdrawal process, and I have also advised Tekun Nasional not to delay the approval of loan applications," he said.

Noting that many women entrepreneurs were also affected, Wan Junaidi said his ministry has distributed RM80 million to assist the group through Tekun Nasional.

In the meantime, he stressed that he wanted to see the widespread use of online business platforms such as e-commerce.

-- BERNAMA