KUCHING: Billions in green financing remain untapped by Sarawak’s small and medium enterprises (SMEs) despite strong government support, according to Maybank.
Maybank’s Group Global Banking Head of ESG Strategy and Solutions, Ranita Abdullah, said SMEs form a critical part of Sarawak’s supply chain but often miss out on sustainable financing opportunities due to limited awareness.
“Our goal is to democratise ESG-linked funding.
We want to connect smaller companies to bigger projects so that the entire value chain benefits,” she told Sarawak Tribune.
Ranita said several government-backed schemes including the Low Carbon Transition Facility (LCTF), High Tech and Green Facility, and Green Technology Financing Scheme (GTFS) remain underutilised despite offering attractive terms.
Under the LCTF, participating banks provide loans of up to RM10 million per SME at a fixed rate of five per cent for up to 10 years, guaranteed up to 80 per cent by Credit Guarantee Corporation or Syarikat Jaminan Pembiayaan Perniagaan.
Similar support is available under the High Tech and Green Facility, which provides longterm financing for projects in green and digital technologies such as circular economy, agritech, low-carbon innovation, Fourth Industrial Revolution (4IR) applications and biotechnology.
“The money is there, but it is untapped.
Many SMEs simply do not know these schemes exist because ESG discussions are often too technical. We need to make it more practical and easier to understand,” she said.
To bridge this gap, Ranita highlighted Maybank’s myimpact SME, a one-stop platform that helps companies assess their carbon footprint, measure ESG readiness, and receive advisory support.
“We also guide them through certifications such as MyHijau and advise them on improving operations before financing,” she added.
Maybank is also preparing to roll out Sustainability-Linked Loans (SLLs) for SMEs in Malaysia, following a successful pilot in Singapore. These loans tie interest rates to measurable sustainability targets, such as emission reductions.
“If companies meet their targets, they may enjoy cheaper rates. If not, the rates increase. Maybank is building that foundation first through myimpact SME, then scaling up once businesses are ready,” she said. Ranita added that Maybank plans to work with state agencies and major corporates in Sarawak to conduct outreach programmes and workshops for local SMEs.
“We need to coach businesses on setting measurable KPIs and applying for funds under schemes such as LCTF or GTFS,” she said. Sarawak currently has over 74,000 SMEs, contributing around RM30 billion to the state economy in 2022.
“Helping them transition to low-carbon practices strengthens competitiveness and creates better jobs. “Our goal is simple. Make sustainable finance accessible to every layer of business.
When SMEs succeed, Sarawak’s energy transition succeeds with them,” Ranita said.
