Bank Negara Malaysia:

Fund For Food

Objective
To increase food production and to finance food sector in Malaysia at a reasonable cost.

Maximum financing rate : 3.75% per annum

Maximum tenure : 8 years

Minimum financing : RM10,000

Maximum financing : 90% of total project cost or RM5 million whichever is lower.

Participating financial institutions / Implementing Ministry / Agency

• Bank Pertanian Malaysia

Eligibility criteria

• Malaysian-owned institutions (at least 51% ownership) incorporated under the Companies Act 1965, the Co-operative Societies Act 1993, the Societies Act 1966, citizens residing in Malaysia and entrepreneurs registered under the Companies Commission of Malaysia or any other authoritative bodies;
• The investment must be in Malaysia; and
• Domestic-oriented projects, whereby at least one-half of the total production is sold in the domestic market

Purpose of financing

• Expansion in productive capacity
• Working capital or
• Both of the above

Financing should not be used for:

• Purchase of shares
• Personal consumption
• Refinancing of existing credit facilities
• Purchase of existing factories
• Labour cost except wages

Eligible sector / Types of financing

• Primary food production i.e. animal husbandry, agriculture cultivation, fishery and biotechnology
• Integrated agriculture
• Processing and/or distribution of food is allowed subject to the raw materials are from domestic sources

Application procedure

Applications should be made to Bank Pertanian Malaysia. Approvals will be subject to the credit approval procedures and security requirements of Bank Pertanian Malaysia.

Contact
Bank Pertanian Malaysia (BPM)
Tel: 03 - 2731 1600
Fax: 03 - 2691 4908
Website: www.bpm.com.my

Development Finance and Enterprise Department
Bank Negara Malaysia (BNM)
Jalan Dato'Onn
50480 Kuala Lumpur
Tel: 03 - 2691 3764
Website: www.bnm.gov.my

 
Last modified: 21 May 2009 10:01.