Ministry of Rural and Regional Development (KKLW) Rural Industries Development Programme

Objectives Of The Scheme

  • To increase the number of rural Bumiputera entrepreneurs in all dynamic and legal economic areas.
  • To upgrade the industries of rural entrepreneurs so they become more dynamic, competitive and resilient as well as to boost their commitment.
  • To provide funding facilities for rural Bumiputera entrepreneurs in order to help improve the rural economy.
  • To provide a collateral-free funding scheme with a low instalment rate.
  • To increase the involvement of rural Bumiputera entrepreneurs in rural economic activities that has more potential and is more dynamic in order to create a Bumiputera Trade and Industry Community (MPPB) among rural residents.

Implementing Agencies

  • Small Medium Enterprise Development Bank Malaysia Berhad for funding that involves the manufacturing, services and rural tourism industries.
  • Bank Kerjasama Rakyat Malaysia Berhad  (Bank Rakyat) ) – for funding that involves the manufacturing, services, agriculture and rural tourism industries.
  • SME Bank

Features Of The Scheme

Concept of Funding

  • Funding based on Syariah concepts (Ijarah Thummalbai, Bai Bithaman Ajil, Bay-Dayn and Al-Quran Hassan)

Purpose of Funding

  • Purchase of machines/equipment that would help to upgrade the business/industry
  • For working capital to be used for the purchase/procurement of raw materials
  • For renovating or upgrading the premise of the business/industry

Limits of Funding

  • RM20,000.00 – RM250,000.00 (for entrepreneurs who have been in operation for less than three years)
  • RM250,000.00 – RM500,000.00 (for entrepreneurs who have been in operation for more than three years)
  • Funding is allowed for as much as 3 times but may not exceed the maximum limit that the applicant is entitled to