PETALING JAYA: The Malaysia Co-Investment Fund (MyCIF) has introduced two new incentives for micro, small and medium enterprises in upstream agriculture and bioeconomy businesses to help boost national food security.
The new incentives are Investments at zero interest financing rate in eligible peer-to-peer financing (P2P) campaigns; and foregoing dividend income from investments in eligible equity crowdfunding (ECF) campaigns. The incentives will apply to agriculture and bioeconomy businesses that fall within the upstream segment of the value chain.
MyCIF, set up as part of Budget 2019 and administered by the Securities Commission Malaysia (SC), coinvests in MSMEs and social enterprises.
Finance Minister II Senator Datuk Seri Amir Hamzah Azizan emphasised the government’s unwavering commitment to support the growth of underserved and strategic sectors.
“Financing upstream businesses is crucial for driving innovation, maintaining supply chain stability, promoting economic development, and advancing sustainability in the agricultural and bioeconomy sectors,” he said at MyCIF Open Day today.
“By supporting these businesses, MyCIF can play a vital role in ensuring the stability and sustainability of the nation’s food security,” he said.
SC chairman Datuk Seri Dr Awang Adek Hussin said Malaysia was the first country in this region to adopt a co-investment model for alternative finance platforms. “MyCIF has been a crucial catalyst of growth for the ECF and P2P segment. The industry has grown exponentially since 2018 and has cumulatively funded over 15,000 MSMEs,” he said.
