KUALA LUMPUR (Oct 29): The government has mandated Khazanah Nasional Bhd to provide the infrastructure to manage at least RM3 billion to be injected into Bursa Malaysia-listed companies hit by the Covid-19 pandemic.
This was announced by Finance Minister Tengku Datuk Seri Zafrul Aziz during the Budget 2022 speech in the Dewan Rakyat.
“There will be a special initiative to assist Bursa Malaysia-listed companies, which will see the injection of funds into companies that have been affected by the Covid-19 pandemic via a government-owned special purpose vehicle (SPV), in the form of equity or other related instruments.
“For this purpose, Khazanah Nasional Bhd will be given the mandate to assist governments in providing the infrastructure required to manage a fund of at least RM3 billion,” said Tengku Zafrul.
For companies with gearing or leverage issues, RM2.1 billion worth of funding avenues via equity and quasi-equity investments will be introduced.
This initiative will be spearheaded by SME Bank, in collaboration with TERAJU and BSN. BPMB will also be offering a Rehabilitation and Support Through Equity (RESET) scheme, while Bank Negara Malaysia (BNM) will set up a Business Recapitalisation Fund worth RM1 billion for the same purpose.
For SMEs, RM14.2 billion is provided in the form of funding through BNM and other agencies.
Read also: The incentives, aids and tax reliefs to spur business recovery under Budget 2022
See more Budget 2022 highlights here.