SHAH ALAM: The allocation of RM50 million as digital matching grants for micro, small, and medium enterprises (MSMEs) is expected to assist automated entrepreneurs, particularly those engaged in online businesses, to operate efficiently and effectively.
Coordinator (Student Entrepreneurship Centre), Malaysian Academy of SME and Entrepreneur Development (MASMED), Universiti Teknologi MARA, Dr Mohamad Idham Md Razak said entrepreneurs can use these grants to invest in e-commerce platforms and digital payment systems to expand their market reach.
"Entrepreneurs can leverage digital marketing technologies such as social media to enhance brand awareness and sales. This aligns with the increasing use of mobile devices and digital applications by consumers.
"Moreover, in addition to improving operational efficiency, it also reduces labour costs and minimises human error," he said when contacted by Bernama today.
Mohamad Idham was responding to Prime Minister Datuk Seri Anwar Ibrahim's Budget 2025 announcement last Friday, regarding the allocation of RM50 million for the Digital Matching Grant for MSMEs and the Digital Vendor Grant under Bank Simpanan Nasional for local entrepreneurs to remain competitive.
He emphasised that stakeholders need to provide more intensive training and education series on digital usage for MSME entrepreneurs, especially in digital marketing, e-commerce, and data analytics.
"Additionally, a continuous support platform for MSMEs should be developed to provide digital guidance, technical assistance, and referrals to financial resources and additional grants.
"Furthermore, collaboration with state governments and major tech companies should be considered to provide easy access to software and digital infrastructure at low cost or with subsidies," Mohamad Idham said.
Meanwhile, Selangor state executive councillor for youth, sports and entrepreneurship Mohd Najwan Halimi expressed confidence that more MSMEs in the state will be able to digitalise following the announced allocation.
He stated that the allocation through the Digital Matching Grant for MSMEs and the Digital Vendor Grant under BSN will benefit the state government's efforts to digitalise over 30,000 MSME entrepreneurs throughout the state.
"We believe that this announcement, along with the federal government's coordination, will assist the state government in developing the MSME entrepreneurship ecosystem, particularly in the form of the digital economy.
"We hope the implementation can be streamlined as effectively as possible because the grant will benefit more than 30,000 entrepreneurs registered under the state government's MSME initiative," Mohd Najwan said.