SERDANG: Agrobank has signed a memorandum of understanding (MoU) with Borong (formerly known as Dropy) to provide RM300 million in loans to micro, small and medium enterprises (MSMEs) through the Digital Niaga Programme (DNP).
Agrobank president and CEO Datuk Tengku Ahmad Badri Shah Raja Hussin said Agrobank would initially provide loans of up to RM50,000.
It may increase depending on business performance.
“The lending criteria for this payment scheme is that the companies have been trading and registered for at least six months and have been operating for a minimum of six months. In addition, they must be registered on the Bolon platform,” he told reporters after the signing of the memorandum of understanding at the Malaysia Agriculture, Horticulture and Agrotourism Expo 2024 last week.
Ahmad Badri said Agrobank and Boron aim to boost economic growth and create opportunities for Malaysia’s 15,000 small and medium-sized enterprises, particularly in agriculture and agri-food related products, which are listed on Boron.
“The Bolon platform has around 165,000 producers and suppliers using the marketplace. The total transaction value on the platform has reached RM17 billion. With Agrobank’s financing, we hope to be able to support even more sellers, especially in the agriculture industry,” he said.
The initiative is a collaboration to develop an ecosystem based on digital agriculture and agribusiness.
Through Boron’s network, Agrobank is able to provide loans to SMEs based on their individual needs for business development and expansion.
Ahmad Badri said that in addition to providing financial assistance, Agrobank also provides entrepreneurial training to the entrepreneurs.
“By undergoing this entrepreneurial training, we can strengthen our business strategies and become more competitive.
An increasingly tough market.
“Furthermore, innovative and resilient businesses will drive the country’s economic development, especially in selling quality products.
We will promote local products through digital platforms, especially in the agricultural sector.”
According to Boron Managing Director Aizat Rahim, DNP is a golden opportunity for small and medium-sized enterprises to restructure their businesses.
“This program provides a platform for people to find the right digital tools and easily access financial services.
resource.
“The aim is to connect millions of Malaysian SMEs with the right solutions and partners to boost their revenue and growth,” he said.