KUALA LUMPUR (March 15): The Securities Commission Malaysia (SC) said Malaysia's equity crowdfunding (ECF) platform had raised RM32.74 million since its inception in 2015. The SC said today the ECF platform had raised the money through 37 campaigns.

In its Annual Report 2017 released today, the SC said for 2017, 23 issuers raised RM22.34 million compared to the RM10.4 million raised by 14 issuers in 2016.

"The exponential growth of funds raised in the ECF market indicates a strong and growing demand for ECF as an alternative financing avenue for MSMEs (micro, small and medium enterprises)," the regulator said.

According to the SC, among the issuers with successful fundraising campaigns on the ECF platform, 57% sought funding of RM500,000 and below. It said the ability for issuers to raise small amounts of capital from the crowd reflects the inclusive nature of ECF as an alternative market-based financing avenue.

The SC said technology-based companies received the bulk of ECF funding in 2017, accounting for 56% of issuers with successful campaigns.