Issues and challenges of microcredit programmes in Malaysia

Abstract

Most of the Small Medium Enterprises (SME) in Malaysia are microenterprises. To date, the government has played an important role, by giving unwavering support in terms of financial assistance to spurs businesses amongst the microfinance industry. This study highlighted microcredit loan cannot be used as a yardstick to measure one’s success in business. It is highly recommended that continuous business and technical knowledge be given to all borrowers. A Graduation Model can also be implemented in microcredit programme in order to attract more poor people to venture into small business.