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CGC Loan scheme



The Credit Guarantee Corporation is a key institutional arrangement in facilitating greater access to financing by the SMEs. By providing guarantee to loans obtained by SMEs, CGC addresses one of the main constraints of SMEs that is, the lack of collateral.

Maximum Loan Amount 

RM50,000.00 - RM5,000,000.00

Loan Term 

3-10 Years

Interest Rate

6% - 14% p/a


1-3 Months

Need financing for your business?


You are currently running a viable business and require more working Capital to grow. Yet, you are unable to secure the necessary financing due to insufficient collateral and lack of track record. At Credit Guarantee Corporation Malaysia Berhad (CGC), we have just the right scheme to assist your business scale new heights.

How CGC Loans Work


Credit Guarantee Corporation Malaysia Berhad (CGC) is a limited company incorporated under the Companies Act 1965 on July 5, 1972. dedicated to helping entrepreneurs improve their small businesses, take advantage of contracting opportunities, and gain access to small business loans.particularly enterprises without collateral or with inadequate collateral and track record, to obtain financing from the financial institutions. CGC facilitates SMEs access to financing through its guarantee schemes.


However, one common misconception is that CGC lends money to businesses. For the most part, that’s not true. CGC does not directly lend money to businesses. You actually get an CGC loan from a bank that participates in CGC financing. The CGC guarantees a percentage of those loans to the banks, so financial institutions have more incentive to lend money to small businesses.


Because of this guarantee, bankers may be more willing to lend you money even if you don’t fit their strict credit criteria. But at many major banks, getting an CGC loan can still often be a complex and lengthy process that can take several months. Lenders will want to review your credit and financial statements and expect you to have collateral to secure the loan. So even with the government guarantee, many small businesses may not qualify for CGC financing.


If you would like to apply for an CGC loan, expect to complete an extensive loan application, plus provide documents such as financial statements, information on your collateral, a description of your business, and a statement of how you’ll use the loan proceeds. They will look for applicants with good credit, a solid business plan, collateral, and a demonstrated ability to repay the loan.


You’ll also have to choose which CGC loan program you’d like to apply to. The most popular programs are the Enhancer loan which can be used for many general business purposes and the DAGS loan, which is most often used to purchase major fixed assets such as equipment and commercial real estate.


If you are unsure which program is right for you, Standardlink can walk you through your options and help you quickly determine if you might qualify for an CGC loan.




The cost and repayment of your CGC loan will be dependent on the program you choose. Below are a few financial figures associated with each of CGC’s most popular loan programs.

Enhancer Excel Scheme


The ENHANCER EXCEL allows small and medium-sized enterprises (SMEs) like yourself gain access to financing with up to 100% guarantee cover. Apply for the ENHANCER EXCEL at any of our branches nationwide NOW.



Loan of up to RM500,000*
Guarantee coverage of up to 100%*
Avails a comprehensive range of banking products and services
*subject to terms & conditions


Eligibility Criteria


  • Company must be at least 51% Malaysian-owned and controlled business entity;

  • Key Person (Principal Partner/Proprietor) must be aged between 25 years and 65 years at the point of application;

  • The business must be in operation for more than three (1) years;

  • However, the key person must have at least three (3) years experience in similar industry inclusive of the current business

  • Eligible to Sdn Bhd, Partnership & Sole Proprietorship business entity;

  • SMEs must have good credit track record;

  • Must be an SME as defined. (for details, please click here)


Type of Facilities

  • Term Loan.

  • OD (with sinking funds).

  • A combination of both.


Maximum Tenure

  • Up to 5 years


Purpose of Financing

  • Working Capital and/or

  • Asset Acquisition


Loan Amount

  • Minimum of RM50,000.00

  • Maximum of RM500,000.00

Guarantee Fee

  • Unsecured portion: 0.50% to 5.75% per annum

  • Secured portion: 0.50% to 3.60%per annum


Interest Rate

  • A maximum of BLR + 0%.


Processing Fee

  • RM300 for each successful application.


Renewal Fee

  • RM150 for annual renewal of all eligible ENHANCER EXCEL loans.


Application Procedure
Application under ENHANCER EXCEL must submit application direct to CGC only.

Credit Enhancer Scheme


Eligibility Criteria

  • Malaysian-controlled or Malaysian-owned businesses.

  • New businesses are eligible to apply

  • Must fall within the definition of SMEs (for details, please click here).

  • Borrower must have a good credit record.

  • Franchise businesses can apply under this scheme.


Maximum Loan Limit
Loan of up to RM10.0 million.


Credit Facilities Covered

  • Term Loan  

  • Overdraft

  • Bankers Acceptance

  • Letter of Credit  

  • Trust Receipt

  • Hire Purchase / Leasing

  • Export Credit Refinancing (ECR)  

  • Shipping/Performance/Bank Guarantee

  • Bills Purchased


Lending Rate
The annual lending rate is up to 2% above the Base Lending Rate (BLR) of the lending institutions. 
*Lending institutions are free to quote the lending rate if the guarantee cover is 50% or less.


Guarantee Coverage
The CGC guarantee coverage ranges from between 30% to 90% subject to the following:-

  • Unsecured Portion - Up to 80% (a maximum cover of RM3.0 million)

  • Secured Portion - Up to 90% (no capping imposed on secured portion)


Guarantee Fee

  • Unsecured Portion : 0.75% to 4.00% per annum.

  • Secured Portion : 0.50% to 3.20% per annum.

SMEs with higher risk profiles will be charged higher guarantee fees, whereas SMEs with lower risk profiles will be charged lower guarantee fees. The range observed is to match borrower’s credibility in terms of risk rating with the pricing of the guarantee.


Application Proceduce

Application under CREDIT ENHANCER can submit to any Participating lending Institutions


Enhancer Excel
Credit Enchancer
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