29th September 2021 - 2 min read
The Ministry of Entrepreneur Development and Cooperative (MEDAC) has said that it will waive credit check processes for entrepreneurs to help them gain faster approvals for government loans. It is one of the ministry’s efforts aimed at helping those affected by the Covid-19 pandemic.
According to the minister of MEDAC, Tan Sri Noh Omar, the government will usually conduct checks on loan applicants via the Central Credit Reference Information System (CCRIS) or the CTOS credit reporting agency.
“We will set aside the CTOS and CCRIS processes to expedite the loan approval, especially involving government funds. We hope that with the absence of CTOS and CCRIS reviews, the loan approval process for entrepreneurs will be expedited,” said the minister.
Additionally, Tan Sri Noh Omar said that his ministry will also set up a special committee to monitor loan approvals, adding that it is crucial for the agencies under his ministry to keep their promises if they’ve pledged to approve a loan within 10 days. Previously, MEDAC had said that it will simplify the application process so that affected entrepreneurs can get funding assistance immediately, thereby shortening the approval process to between three to ten days.
“This is important because I have received complaints that some entrepreneurs have had to wait for up to three months to find out the status of their loan applications. This committee could investigate the real cause of delays in loan approvals and why they happen so that entrepreneurs facing challenges can be assisted by the government,” Tan Sri Noh Omar stated
(Source: Free Malaysia Today)
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