TEKUN Targets 24-Hour Loan Approval for Small Businesses

TEKUN Nasional is launching a pilot project to significantly speed up loan approvals for micro and small businesses, aiming to process applications for amounts under RM20,000 within just 24 hours. This initiative is part of a broader government effort to streamline services for entrepreneurs and cut down on bureaucratic hurdles in financing processes.

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For financing under RM20,000, TEKUN is implementing a pilot project and our target is to process applications within 24 hours, not a long period anymore.

Steven Sim Chee Keong, Minister of Entrepreneur Development and Cooperatives (KUSKOP), stated that the program is currently being tested and is expected to be fully implemented within the next two to three months. The goal is to provide urgent working capital to small businesses, enabling them to maintain operations and pursue growth opportunities without delay.

In addition to the rapid 24-hour approval for smaller loans, TEKUN is also accelerating the processing of larger financing requests. Loans up to RM100,000 can now be approved within seven days. Furthermore, SME Bank and Bank Rakyat have committed to processing and deciding on loan applications up to RM1 million within 14 days, demonstrating a coordinated effort across government agencies to support small and medium-sized enterprises (SMEs).

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This is to help micro and small entrepreneurs who need working capital urgently to continue operations and grow their businesses.

The launch of the TEKUN Nasional Portal is another key step in KUSKOP's agenda, particularly under the 'Simplified Bureaucracy' pillar and the digitalization of services. This one-stop digital platform allows entrepreneurs to access financing information, apply online, check application status, find details on training programs, and locate TEKUN offices nationwide. This move eliminates the need for entrepreneurs to visit physical offices for loan applications, making the process more accessible and efficient. As of May 31, 2026, KUSKOP has disbursed RM92 million to over 4,300 entrepreneurs in Melaka and RM5 billion nationally to more than 180,000 enterprises.

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Currently, entrepreneurs no longer need to go to the office to apply for financing; they can apply through the portal that was launched today.