Credit Guarantee Corp Malaysia Bhd (CGC) is increasing its target for guarantee of loans next year to keep pace with the rapid growth in lending to small- and medium-sized enterprises (SMEs).
Managing director and chief executive officer Datuk Wan Azhar Wan Ahmad said CGC is targeting to guarantee more than the RM3 billion loans it has allocated for this year.
"The growth has been really fast, as can be seen by the allocation of RM4.5 billion under Budget 2005 (for activities in both export- and domestic-oriented sectors)." he said.
As at the September 30, CGC had guaranteed 368,750 loans valued at RM28.9 billion under all schemes, of which, 4,212 loans valued at RM1.92 billion are from its own scheme - Direct Access Guarantee Scheme.
CGC, a 79.3 per cent unit of Bank Negara Malaysia, administers government funds allocated by the central bank and ensures active involvement from financial institutions in implementing its guarantee schemes.
