Latest news with #ECF
The Sun
a day ago
- Business
- The Sun
MyCIF co-invesments since inception surpass RM1 billion mark
PETALING JAYA: The Malaysia Co-Investment Fund (MyCIF) has surpassed RM1 billion in total co-investments since its inception, marking a significant milestone in supporting the growth of micro, small, and medium enterprises in the country. MyCIF, set up by the Ministry of Finance under Budget 2019, has been a pivotal force in the financing landscape, utilising equity crowdfunding (ECF) and peer-to-peer (P2P) financing platforms to channel funds into MSMEs. Since its inception, more than 9,500 MSMEs have benefited from MyCIF's co-investments. In its annual performance report released today, MyCIF said total co-investments reached RM1.19 billion as at end-2024, with RM264 million invested that year alone. MyCIF has attracted 4.1 times in private sector funding for every ringgit invested, demonstrating a strong crowding-in effect. This saw a 21.4% increase in total private investment. The RM1.19 billion total co-investments by MyCIF represent 4.6 times of RM260 million total funds disbursed from the government to date into the programme, demonstrating efficient use of public funds. In addition to the General Scheme 1:4 co-investment, MyCIF continues to bolster strategic and underserved segments of the economy through targeted schemes. These include Food Security and Environmental & Social Enterprise Schemes with a preferential 1:2 co-investment ratio. Co-investments in these segments rose to RM7 million in 2024 from RM3.4 million in 2023, reflecting MyCIF's strengthened commitment to targeted investment areas. Under Budget 2025, MyCIF has earmarked up to RM40 million for promoting innovative Islamic risk-sharing financing through ECF and P2P platforms. This allocation complements existing MyCIF schemes and aims to encourage greater adoption of Islamic financing structures by offering various incentives. They include MyCIF's investing on a first-loss basis in ECF and P2P campaigns based on Islamic risk-sharing models, and for P2P campaigns, MyCIF will additionally invest at 0% financing rate. In July 2024, MyCIF introduced the Environmental and Social Impact Scheme to support impact-driven businesses in the environment, community, food security, education and healthcare sectors. The scheme also extends to MSMEs financing waqf assets development projects within these focus areas. To enhance awareness and access to financing, MyCIF hosted its inaugural nationwide roadshow in Penang in February, themed 'Empowering Financing, Advancing Growth'. The event, supported by the Northern Corridor Implementation Authority, aimed to raise MyCIF's profile and benefits among MSMEs in the northern states of Malaysia. The MyCIF will next hold a roadshow in Kota Kinabalu, Sabah, on July 31 to raise awareness of alternative funding avenues and foster connectivity between the capital market and entrepreneurs in Sabah, thereby further supporting MSME growth
The Star
a day ago
- Business
- The Star
MyCIF surpasses RM1bil co-investment mark
Securities Commission Malaysia building at Kuala Lumpur. KUALA LUMPUR: The Malaysia Co-Investment Fund (MyCIF) total co-investments have reached RM1.19 billion as of end-2024 since its inception, with RM264 million invested in 2024 alone. MyCIF said it has attracted 4.1 times in private sector funding for every ringgit invested, demonstrating a strong crowding-in effect, which led to a 21.4 per cent increase in total private investment. "The RM1.19 billion in total co-investments by MyCIF represent 4.6 times the RM260 million in total funds disbursed by the government to date into the programme, demonstrating efficient use of public funds," it said in a statement today. Set up by the Ministry of Finance (MoF) under Budget 2019, MyCIF has played a pivotal role in the financing landscape by utilising equity crowdfunding (ECF) and peer-to-peer (P2P) financing platforms to channel funds into micro, small and medium enterprises. In addition to the general scheme 1:4 co-investment, MyCIF continues to support strategic and underserved segments of the economy through targeted schemes, including food security and environmental and social enterprise initiatives with a preferential 1:2 co-investment ratio. Co-investments in these segments rose to RM7 million in 2024 from RM3.4 million in 2023, reflecting MyCIF's strengthened commitment to targeted investment areas. Under Budget 2025, MyCIF has earmarked up to RM40 million for promoting innovative Islamic risk-sharing financing through ECF and P2P platforms, it said. "This allocation complements existing MyCIF schemes and aims to encourage wider adoption of Islamic financing structures, based on Musharakah and Mudharabah concepts. "It will do so by investing on a first-loss basis in ECF and P2P campaigns grounded in Islamic risk-sharing models, and additionally by offering zero per cent financing rates for selected P2P campaigns," it added. - Bernama
Barnama
a day ago
- Business
- Barnama
MyCIF Surpasses RM 1 Bln Co-investment Mark
BUSINESS KUALA LUMPUR, July 21 (Bernama) -- The Malaysia Co-Investment Fund (MyCIF) total co-investments have reached RM1.19 billion as of end-2024 since its inception, with RM264 million invested in 2024 alone. MyCIF said it has attracted 4.1 times in private sector funding for every ringgit invested, demonstrating a strong crowding-in effect, which led to a 21.4 per cent increase in total private investment. "The RM1.19 billion in total co-investments by MyCIF represent 4.6 times the RM260 million in total funds disbursed by the government to date into the programme, demonstrating efficient use of public funds," it said in a statement today. Set up by the Ministry of Finance (MoF) under Budget 2019, MyCIF has played a pivotal role in the financing landscape by utilising equity crowdfunding (ECF) and peer-to-peer (P2P) financing platforms to channel funds into micro, small and medium enterprises. In addition to the general scheme 1:4 co-investment, MyCIF continues to support strategic and underserved segments of the economy through targeted schemes, including food security and environmental and social enterprise initiatives with a preferential 1:2 co-investment ratio. Co-investments in these segments rose to RM7 million in 2024 from RM3.4 million in 2023, reflecting MyCIF's strengthened commitment to targeted investment areas. Under Budget 2025, MyCIF has earmarked up to RM40 million for promoting innovative Islamic risk-sharing financing through ECF and P2P platforms, it said. "This allocation complements existing MyCIF schemes and aims to encourage wider adoption of Islamic financing structures, based on Musharakah and Mudharabah concepts. "It will do so by investing on a first-loss basis in ECF and P2P campaigns grounded in Islamic risk-sharing models, and additionally by offering zero per cent financing rates for selected P2P campaigns," it added.
Euronews
5 days ago
- Business
- Euronews
Commission nearly doubles research, innovation fund in next budget
The European Commission has earmarked some €175.3 billion of its long-term 2028-2034 budget for Horizon Europe, its research and innovation program, up from €93.5 billion in the previous period (2021-2027). Horizon Europe, which finances projects on green and digital transitions as well as research leading to scientific breakthroughs, will now be part of the newly created European Competitiveness Fund (ECF), with a total budget of €410 billion, that aims to improve the bloc's competitiveness in technologies and strategic sectors critical to the EU. Until now, the variety of EU programmes supporting innovation and deployment of research has been seen as 'complex and difficult to navigate' for the targeted beneficiaries, the Commission's document said. The new ECF is pooling resources from eleven programmes. Of the €410 billion fund, some €54.8 billion is earmarked for the 'digital transition'. 'This investment impulse should benefit the entire Single Market – from AI to space, from clean tech to biotech. The Fund will be structured into four vertically integrated sectoral windows: clean transition and decarbonisation; resilience, defence industry and space; digital leadership; health and bio-economy,' the Commission's document said. On Wednesday the Commission presented its much-anticipated proposal for the new long-term EU budget, worth €2 trillion between 2028 and 2034, a sizable increase compared to the €1.21 trillion in the previous period. In a reaction to the funding, tech lobby group Digital Europe said an 'additional investment of between €157 billion and €227 billion per year on average' is needed to close Europe's investment gap with other regions of the world. 'Digital technologies are crucial to cut emissions, protect critical infrastructure and super-charge productivity – they need to drive action across all the EU's strategic priorities,' its statement said. In February, Commission President Ursula von der Leyen said the EU executive would invest some €20 billion in AI gigafactories, needed to allow for 'collaborative development' for the most complex AI models. In comparison, French President Emmanuel Macron previously committed to invest €109 billion in AI projects in France in the coming years. On Monday, the US government committed to €92 billion for cutting-edge AI and energy initiatives. The budget will now need to be discussed by the member states and needs the consent of the European Parliament.
Euractiv
6 days ago
- Business
- Euractiv
Green groups see EU budget bill as death knell for environment funding
While the European Commission has proposed a substantial increase in the size of the bloc's central budget from 2028, green groups have accused the EU executive of lowering the priority of environmental action and warn civil society voices could be excluded from the policy making process. As expected, the European Commission has proposed axing the LIFE Programme, the EU's only stand-alone funding mechanism for environmental action. The 2028-34 budget bill also squeezes broader funding for climate and biodiversity policy goals. But the EU executive put a positive spin on its move to streamline green funding with the massively increased €2 trillion budget. 'We will have a climate and biodiversity spending target, so mainstreaming, of 35% for the new MFF," European Commission President Ursula von der Leyen told reporters on Wednesday, referring to the EU's next multiannual financial framework. "This amounts to around €700 billion.' This substantial sum of money would have to be spent in ways that are compatible with the EU goal of reaching net-zero emissions by mid-century, and reversing biodiversity loss. Nevertheless, it is lower than the combined €658 billion ring-fenced for climate and €113 billion for biodiversity in the current budget. From 2028, central budget funding for climate and environment purposes will be split in two separate pillars: the 'clean transition and industrial decarbonisation' envelope of the €410 billion European Competitiveness Fund (ECF), and some €1 trillion spread across different priorities such as economy, agriculture, rural prosperity and security. 'Our proposal for the next MFF shows that we remain strongly committed to environmental priorities," Environment Commissioner Jessika Roswall said. "Water, circularity, nature and bioeconomy are prominent parts of the new competitiveness fund and the national plans." Less money for nature However some fear this new approach risks decreasing overall funding for nature and biodiversity. 'The loss of LIFE as we know it in the new MFF is not simplification – it's sabotage," said Patrick ten Brink, secretary general of the European Environmental Bureau (EEB), an NGO umbrella group. "The LIFE Programme exists for a reason. It delivers targeted, cost-effective results for nature, climate and public health.' Ester Asin, director of the WWF European Policy Office warned the 35% global target could become little more than a PR exercise. "By grouping all environmental spending under a single target, there is a real danger that biodiversity will be sidelined in favour of industrial priorities that may be presented as green investments," she said. Others warned the proposed budget reform could actually widen a gap in funding for nature restoration that is currently estimated to be €19 billion annually. 'We are deeply concerned by the lack of dedicated biodiversity funding, as the LIFE funding is now suggested to be merged with other programmes," said Andras Krolopp, biodiversity policy lead at The Nature Conservancy. The concerns of civil society groups were also echoed by progressive voices in the European Parliament. 'It is irresponsible and short-sighted for this proposal to end the LIFE programme and leave out funding for biodiversity,' said Green MEP Rasmus Nordqvist, one of the negotiators of the MFF in the Parliament's budget committee. The cancellation of the LIFE Programme also represents an existential threat to numerous environmental NGOs who currently share €15 million in direct grants to cover part of their operational expenses. The Commission says such support could in future be disbursed via national programmes, but it is unclear for now how the funds would be allocated, and whether campaign groups will be able to meet unspecified criteria related to competitiveness or national policy objectives. '[By] repealing LIFE, core funding for environmental NGOs could disappear, leaving civil society under-resourced to support necessary implementation, enforcement, and public engagement," the EEB warned. 'The MFF needs to enable civil society actors to participate effectively in EU-level policymaking," MEP Nordqvist said. "It is essential to safeguard the right of everyone to meaningful participation in decision-making processes and the full cycle of implementation of the EU budget." (rh, aw)
