MTDC and SME Corp Join Forces for Malaysian SMEs
- by XM Admin
Kuala Lumpur, December 11 – Breaking ground in the realm of Malaysian business, the Malaysian Technology Development Corporation (MTDC) and SME Corporation (SME CORP) have formalized a pivotal commitment by exchanging a Memorandum of Understanding (MoU). This MTDC SME Corp joint force is poised to be a game-changer, aiming to empower and propel Malaysian Small and Medium Enterprises (SMEs) into the global arena. The collaboration seeks to create networks that inspire entrepreneurs, grant access to cutting-edge technologies, overcome challenges, and facilitate the expansion of market reach through exports.
Transforming SMEs into Exporters: A Visionary Program Takes Flight
SMEs stand as the unsung heroes in Malaysia’s economic narrative, constituting the backbone of the nation’s financial stability. Contributing substantially to the country’s GDP and accounting for a significant portion of employment, SMEs are indispensable drivers of economic growth and development.
The spotlight of this collaboration is the groundbreaking “Transforming SMEs into Exporters” program, a visionary initiative aimed at preparing and supporting local SMEs to broaden their business horizons through global exports. Tn Haji Mohammad Hazani Hj Hassan, a key figure in this groundbreaking program, sets the bar high, expressing an ambitious goal of bringing 10-20% of the total 300 participating companies into the export realm.
ESG Compliance: A Critical Element for SMEs’ Global Ascent
In an era defined by heightened awareness of corporate responsibility and sustainability, Rizal Nainy, CEO of SME Corp, underscores the pivotal role of Environmental, Social, and Governance (ESG) compliance in propelling Malaysian SMEs towards international success. Beyond the conventional parameters of product quality and market competitiveness, global markets now scrutinize businesses for their commitment to environmental sustainability, social responsibility, and ethical governance practices.
Nainy recognizes the prevailing gap in ESG preparedness among Malaysian companies, emphasizing that embracing ESG principles is not merely a regulatory obligation but a strategic imperative for businesses venturing into the global marketplace. As companies expand their operations beyond domestic borders, adherence to ESG criteria becomes a key differentiator, influencing the perception of investors, partners, and consumers worldwide.
By prioritizing ESG compliance, SMEs not only align themselves with evolving global standards but also mitigate risks associated with environmental, social, and ethical concerns. Furthermore, businesses committed to ESG principles are better positioned to attract socially conscious investors, forge sustainable partnerships, and build a positive brand image on the international stage.
MTDC’s training arm, the Technopreneur Training Academy (TENTRA), takes on the reins of spearheading the TSMEX program. This comprehensive initiative kicks off with a seven-day training program for 300 companies. Following this, MTDC and SME Corp will meticulously select between 30-60 companies for a three-month intensive program.
Criteria for TSMEX Participation
SMEX program eligibility requires a track record of over six months in operation, registration with Suruhanjaya Syarikat Malaysia (SSM), maintaining at least 60% Malaysian ownership, and achieving a minimum annual sales turnover of RM300,000. The program is poised to commence in January, with an anticipated conclusion by September 2024.
Fueling Malaysian GDP: SME Globalization’s Economic Ripple Effect
As more Malaysian SMEs venture into the global export market, the potential for elevating Malaysia’s GDP and overall economic prosperity becomes vivid. This surge in international trade not only amplifies individual businesses’ revenue streams but also significantly contributes to the nation’s economic vitality. The “Transforming SMEs into Exporters” program stands as a testament to Malaysia’s resolute commitment to fostering innovation, competitiveness, and sustained economic growth through the development of its SME sector.
Strategic Leadership: Hazani and Nainy’s Unified Vision
Hazani and Nainy’s statements reflect a shared commitment to strategic collaboration and innovative leadership. The emphasis on nurturing technology-driven enterprises speaks to a forward-looking approach, recognizing the pivotal role SMEs play in driving economic growth. This united vision reinforces the Transforming SMEs into Exporters (TSMEX) program as not just a training initiative but a testament to the commitment of both organizations to propel Malaysian SMEs into the global arena. As these industry leaders align their expertise, Malaysian SMEs can look forward to a powerful combination of guidance, resources, and strategic insight to overcome challenges and emerge as global players.