A study of Direct Credit for Small and Medium-sized Enterprises in Malaysia: Features and Effects

2016 Fiscal Year Final Research Report

• Project/Area Number: 26380321
• Research Category: Grant-in-Aid for Scientific Research (C)
• Allocation Type: Multi-year Fund
• Section: 一般
• Research Field: Economic policy
• Research Institution: Toyo University
• Principal Investigator: Rika Nakagawa 東洋大学, 経済学部, 教授 (60450532)
• Project Period (FY): 2014-04-01 – 2017-03-31
• Keywords: 中小企業 / 中小企業政策 / 金融支援 / 政策評価 / マレーシア

Outline of Final Research Achievements

This study detailed various features and effects of direct credit for small and medium-sized enterprises in Malaysia. First, direct credit from the government was provided for SMEs in which Bumiputera had been appointed to the board of directors. Second, the direct credit tended to be provided to SMEs with fixed assets; however, the business performance of those SMEs was relatively poor. Third, the direct credit system seemed to make only an insignificant contribution to SMEs in terms of employment and sales. Based on these findings, this study suggested that the government needs regular program evaluations to improve the direct credit system. In addition, setting specific exit criteria for the financial assistance is essential for the efficient use of government funds. Furthermore, the government should assist SMEs to upgrade their businesses so that they can meet the eligibility criteria of the credit guarantee system to apply for commercial loans.

Free Research Field

経済政策