KUALA LUMPUR: The Credit Counseling and Debt Management Agency (Agensi Kaunseling dan Pengurusan Kredit) will start offering specialized solutions to help SMEs (including micro-SMEs) manage their debt and promote good financial management practices.
In a joint statement released on Friday, Bank Negara Malaysia and AKPK announced that from September 1, the latter would provide services following the transfer of the Small Debt Resolution Scheme (SDRS) function from Bank Negara to the AKPK. ‘AKPK.
“With this transfer, AKPK will serve as a unique platform for individuals and SMEs seeking debt restructuring services, as well as financial education and counseling,” they said.
The statement also said that the AKPK can now provide more efficient and holistic debt restructuring and advisory services to SMEs that have loans from multiple banks. This was based on AKPK’s vast experience and expertise in helping people in financial difficulty manage their finances through its structured debt management program.
AKPK also plays a key role in building the financial capacity of Malaysians through its personalized financial education and counseling programs.
Since its inception in 2006, the AKPK has provided counseling services to 1.09 million people, of which 324,815 participants have applied to enroll in the Debt Management Program (DMP).
For those who signed up for the DMP, more than 28,000 participants have fully paid their debts totaling RM1.28 billion in total.
They said that SMEs facing loan repayment issues will also be able to contact the AKPK for assistance in developing an appropriate repayment plan with their banks.
SMEs will be able to access SDRS through the AKPK’s online channels and the network of 12 branches across the country.
With the automatic moratorium period ending on September 30, SMEs still facing difficulties in meeting their loan obligations are encouraged to seek prompt advice on repayment assistance from their respective banks.
SDRS under the AKPK is an additional way for SMEs to get help and advice on debt restructuring and rescheduling, complementing the banking industry’s efforts to help struggling SMEs.
The SDRS was established by Bank Negara Malaysia in 2003 to assist viable SMEs in all economic sectors facing difficulties in servicing their debt with several financial institutions, by facilitating the restructuring or rescheduling of loans.
Since 2003, SDRS has helped more than 1,200 SMEs to reschedule and restructure their corporate finance amounting to RM 1.7 billion.