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Shariah Compliant SME Financing Scheme (SSFS) 2.0



Shariah-compliant SME Financing Scheme (SSFS) 2.0
* Application can be made direct with the 14 participating Islamic Banks
  • To provide financing assistance to eligible Malaysian SMEs whereby the Government of Malaysia has agreed to pay 2% (percentage point) of the profit rate charged on the financing provided by Participating Financial Institutions.
Overall Financing
  • Maximum of RM1 billion for financing applications from 1/1/2016 until 31/12/ 2017, or upon full utilisation of the RM1 billion limit, whichever comes first.
  • Approved facilities to be registered with SME Corp. Malaysia on first come first serve basis.
  • Existing SMEs that comply with the eligibility criteria and currently having Syariah-compliant facilities (performing) approved in 2016 but yet to undergo SCORE / MCORE are eligible to apply.
  • No subsidy if prescribed rate fall below 2% rebate.
Purpose of Financing
  • All ringgit-denominated Syariah-compliant financing for all purposes including but not limited to:
  • working capital,
  • asset acquisition and
  • upgrading of businesses

excluding non-funded facilities (e.g. bank guarantee and letter of credit) and acquisition of other business and companies.

  • Does not include refinancing or restructuring of existing facilities. However, accounts that have been restructured before turning non-performing (NPF) in 2016-2022 are eligible under the scheme.

List of Participating Financial Institutions

  • Affin Islamic Bank Berhad
  • Alliance Islamic Bank Bhd
  • AmIslamic Bank Berhad
  • Bank Islam Malaysia Berhad
  • Bank Kerjasama Rakyat Malaysia Berhad
  • Bank Muamalat Malaysia Berhad
  • CIMB Islamic Bank Berhad
  • Hong Leong Islamic Bank Berhad
  • Public Islamic Bank Berhad
  • RHB Islamic Bank Berhad
  • HSBC Amanah Malaysia Berhad
  • Maybank Islamic Berhad
  • Agro Bank
  • Al-Rajhi Bank

Eligibility criteria

  • The participating company has not received any rebate assistance under the RMK-10 SSFS fund @ RM2billion.
  • Subject to the respective Participating Financial Institutions credit assessment, own criteria and respective limit of Participating Financial Institutions : AND
  • Comply with SME definition as per below : AND

Click here for further information on the new SME Definition




 Related Services and

 Agro-based industries

Sales turnover of less than 

OR full time 
employees less than 5


Sales turnover between 
RM300,000 and less than 
RM15 million
OR full time employees 
between 5 and 75


Sales turnover between 
RM15 million and            RM50 million

OR full time 
employees between 
75 and 200


Services, Primary

Agriculture and Information

& Communication Technology



Sales turnover of less than 

OR full 
time employees 
less than 5


Sales turnover between 
RM300,000 and less than 
RM3 million

OR full time 
employees between 5 and 30


Sales turnover between 
RM3 million and RM20 million
OR full time employees between 30 and 75


  • At least 60% Malaysian owned SME: AND
  • Comply to one or more of the following at the point of application:
    • SME rated with at least 2 stars under SCORE
    • Microenterprise (ME) rated with at least Level 1 under MCORE
    • Certified under 1-InnoCERT
    • Certified under National Mark of Malaysian Brand
    • Accorded the MSC status by MDeC
    • Accorded the Bio-Nexus status by Malaysian Biotechnology Corporation
    • Certified under the Green Tech Cert under Malaysian Green Technology Corporation
    • TeraS selected SMEs under TERAJU
  • For SMEs that do not comply with the above (a-h) but have been granted financing approval, they must apply for SCORE/MCORE within 2 months from financing approval date in order to be eligible. If found eligible, the profit rebate portion that was paid (2% p.a.) will be reimbursed under the scheme from the date of disbursement by Participating Financial Institutions.
  • SMEs must sign declaration with the Participating Financial Institutions upon application, stating fulfilment of the above eligibility criteria and to allow disclosure of information on the financing facility by the Participating Financial Institutions to SME Corp. Malaysia (as the implementing agency) and Ministry of Finance.
  • Existing SMEs that comply with the eligibility criteria and currently having Syariah-compliant facilities (performing) approved in 2016 & 2017 are eligible to apply.
  • Those financing facilities that currently enjoy profit rebate under other schemes (e.g. Green Tech Financing Scheme) are not eligible under SSFS. However, SMEs may apply under SSFS and enjoy the 2% rebate for the remaining financing amount (subject to a maximum of RM5 million) for the amount not eligible under those other schemes provided the borrower complies with the eligibility criteria under this SSFS.
  • SMEs that enjoy profit rebate or where the profit rate is below market rate under other Government-sponsored (including Bank Negara Malaysia) funds or schemes will not be eligible under SSFS, whether current or future. Examples are SME financing schemes under MIDF, SME Bank and Green Technology Financing Scheme.
Eligible sector / coverage
  • SMEs undertaking Syariah-compliant business activities in all sectors excluding financial product and services for which the activities are regulated under, among others, the various banking, insurance, takaful and unit trust laws and regulations.
  • Shareholding by government development agencies such as PNS, PUNB, MARA, Cradle Fund Sdn Bhd and state development agencies are eligible
  • SMEs approved for Syariah-compliant microfinancing are also eligible.
  • Exclude those SMEs having ANY shareholding by:
  • Government-linked corporations (GLC)
  • Public listed companies (PLC)
  • Multinational Corporations (MNC)
Eligibility Period for Profit Rebate
  • Up to 5 years from the date of first disbursement (i.e. and/or until 31st March 2022) or until the facility is fully repaid / terminated / recall or terminated due to non-utilization of the facilities, whichever comes first.
  • SMEs may obtain financing for a period exceeding 5 years, however there will be no payment of 2% rebate beyond 2022.
  • Financing that turns non-performing financing (NPF) will not be eligible for the 2% rebate. However, the 2% rebate will be reinstated in the current month of regularisation.
Maximum amount eligible
  • Up to RM5 million per SME based on:
  • the approved amount aggregated based on all financing provided under this scheme from all Participating Financial Institutions; and
  • common controlling shareholders and/or directors except for nominee directors appointed by VCs.
  • SMEs may obtain financing above RM5 million, however only the first RM5 million will be eligible for the 2% profit rebate.
Tax exemption
  • The profit rebate (subsidy) provided is tax exempted for the customer as per Stamp Duty Exemption Order (No.22) 2006 P.U. (A) 207/2006.   



Business Advisory & Support Division
SME Corp. Malaysia
Level 4, SME 1, Block B, Platinum Sentral
Jalan Stesen Sentral 2
Kuala Lumpur Sentral
50470 Kuala Lumpur

Name : Pn. Muneswari Munusamy / Cik Noordiyana Saufi
Email : This email address is being protected from spambots. You need JavaScript enabled to view it. / This email address is being protected from spambots. You need JavaScript enabled to view it.


SME Corporation Malaysia,
Level 6, SME 1, Block B 
Platinum Sentral
Jalan Stesen Sentral 2
Kuala Lumpur Sentral
50470 Kuala Lumpur.

Info Line: 1300-30-6000
Fax Line: 03-2775 6001

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