GXBank raises MSME financing limit to RM150,000 to bridge Malaysia’s RM90 billion credit gap
PETALING JAYA: GX Bank Berhad (GXBank) has strengthened its GX Business Banking offering with enhanced financing features aimed at improving access to credit for micro, small and medium enterprises (MSMEs), particularly sole proprietors who have traditionally faced challenges in securing financing.
The digital bank announced that, through support from CGC Digital, the fintech arm of Credit Guarantee Corporation Malaysia, eligible businesses can now access financing of up to RM150,000 under its expanded offering.
The move also introduces the acceptance of personal bank statements for business account applications and credit assessments, a step intended to lower entry barriers and help entrepreneurs establish a formal business credit history.
The initiative comes as Malaysia continues to grapple with an estimated RM90 billion MSME credit gap.
GXBank chief executive officer Kaushik Chowdhury said sole proprietors remain a critical yet underserved segment of Malaysia’s economy despite their contribution to business activity nationwide.
“Sole proprietors are the lifeblood of Malaysia’s economy, yet they remain underserved. Since the launch of GX Business Banking, our data-driven underwriting approach has led to more than a thousand GX FlexiLoan users and approximately a 70% loan utilisation rate across our business banking portfolio,” he said.
Kaushik said the partnership with CGC Digital had already delivered encouraging results, with over RM3.3 million in loan approvals recorded within the first 30 days.
He said the collaboration helps bridge financing gaps by using alternative data and digital guarantees while further lowering barriers through the use of personal banking records as income verification.
The partnership with CGC Digital introduces a digital-first guarantee framework designed to support larger financing approvals.
According to the company, more than half of customers have already opted into the programme organically, reflecting growing demand among MSMEs seeking financing beyond micro-loan levels to support expansion plans.
CGC Digital chief executive officer Yushida Husin said future financing models for MSMEs will increasingly rely on understanding digital business activity rather than conventional collateral-based assessments.
“The future of MSME financing will not be built on collateral alone; it will be shaped by how effectively we understand businesses in the digital economy.
“This collaboration with GXBank reflects our commitment to advancing more inclusive and forward-looking financing models,” she said.
Yushida added that integrating guarantee support into digital banking ecosystems would allow financial institutions to reach underserved business segments while providing MSMEs with fairer access to growth capital.
In a further move to reduce barriers to entry, GXBank said it now accepts personal bank statements for business account registration and loan applications.
The bank added that about 70% of sole proprietors in the region currently use personal accounts to manage business expenses, often resulting in mixed personal and business finances.
The new feature aims to provide entrepreneurs with a smoother transition into formal business banking while enabling them to convert their personal financial track records into a verifiable business credit profile.
