The Securities Commission Malaysia (SC) recently signed a Memorandum of Understanding (MoU) with Credit Guarantee Corporation Malaysia Berhad (CGC Group) and CGC Digital Sdn. Bhd. to enhance access for Malaysian micro, small and medium enterprises (MSME) and mid-tier companies (MTC) to capital market financing solutions.
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The three-year MoU aligns with the SC’s 5-Year Roadmap to catalyse MSME and MTC access to the capital market (2024-2028). By collaborating with CGC Group, this initiative leverages CGC Group’s expertise in financing guarantees and its established network in the MSME sector.
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Key focuses of the collaboration include:
- Enhancing MSME and MTC access to capital market financing solutions via CGC’s imSME platform. The platform matches MSMEs and MTCs with Peer-to-Peer Financing (P2P) operators. The MoU aims to further expand this access by onboarding more P2P operators. Currently the platform offers products from six P2P operators.
- Supporting MSME and MTCs’ de-risking of investments by providing credit guarantees, and extending credit guarantees to additional capital market solutions. Since its inception in 1972, CGC has provided guarantee and financing worth over RM98.31 billion, benefiting over 538,000 MSMEs.
The SC Chairman Dato’ Mohammad Faiz Azmi emphasised that the collaboration aims to connect MSMEs and MTCs with capital market solutions designed to meet their financing needs. “By leveraging CGC Group’s credit guarantees, we can instill greater investor confidence, which in turn improves access to funding for these businesses,” he said.
President and Chief Executive Officer (PCEO) of CGC Group Datuk Mohd Zamree Mohd Ishak said, “The signing of the Memorandum of Understanding is a very important milestone in advancing capital market access for Malaysian businesses, reflecting CGC Group’s unwavering commitment to promote the growth and development of Malaysian businesses. By forging alliances with a distinguished and highly reputable institution such as the Securities Commission, this collaboration seeks to unlock transformative growth trajectories while addressing barriers faced by unserved and underserved Malaysian businesses.”
CEO of CGC Digital Yushida Husin, stated, “This collaboration represents a pivotal step in enhancing imSME as Malaysia’s leading referral platform, transforming the digital funding ecosystem and driving greater accessibility for businesses nationwide.”
The MoU was signed by SC Chairman Dato’ Mohammad Faiz Azmi, PCEO of CGC Group Datuk Mohd Zamree Mohd Ishak, and CEO of CGC Digital Sdn. Bhd. Yushida Husin.
About Securities Commission Malaysia (SC)
The Securities Commission Malaysia (SC) was established on 1 March 1993 under the Securities Commission Act 1993 (SCA). We are a self-funded statutory body entrusted with the responsibility to regulate and develop the Malaysian capital market.
SC mission is “to promote and maintain fair, efficient, secure and transparent securities and derivatives markets; and facilitate the orderly development of an innovative and competitive capital market”.
The SC has direct responsibility for rule-making, enforcing regulations about the capital market, ensuring sustainable market growth and development, supervising capital market activities and market institutions including the exchanges, clearing houses and registered market operators, and regulating all entities and persons licensed under the Capital Markets and Services Act 2007. Based on the SCA, the SC reports to the Minister of Finance and our accounts are tabled in Parliament annually.
