KUALA LUMPUR: Bank Rakyat is continuing its support for asnaf entrepreneurs through the RAKYATpreneur 5.0 and Bank Rakyat UNIpreneur 4.0 programmes, with a combined funding of RM3.82 million for 800 potential entrepreneurs.
The ongoing initiatives have already helped 1,833 asnaf entrepreneurs and students with RM6.63 million in total funding over the past three years.
The RAKYATpreneur programme is a social finance initiative aimed at helping high-potential asnaf entrepreneurs expand their businesses.
Meanwhile, the UNIpreneur programme is a collaboration between the bank and local higher education institutions (IPT) to assist underprivileged student entrepreneurs from selected universities.
Both programmes were also featured in the World Bank Group's 2023 report on social finance impact.
Deputy Entrepreneur Development and Cooperatives Minister Datuk Ramanan Ramakrishnan said the ability of a business to adapt to current landscape challenges was crucial in today's environment.
This required continuous efforts to improve management processes and operational efficiency, as well as the full implementation of technology and innovation practices to ensure business sustainability.
However, he said, this posed a challenge for social entrepreneurs from the asnaf group, as they must remain proactive in expanding their market and business opportunities while also maintaining sustainable financial capability.
"Hence, this initiative by Bank Rakyat aims to strengthen social welfare by addressing economic needs and helping marginalised groups escape relative poverty.
'I highly commend the implementation of these programmes as it support the development of potential entrepreneurs and students by providing funding, training modules, and holistic guidance.
"This also creates opportunities for entrepreneurs to grow and advance their businesses," Ramanan said at the opening ceremony of the RAKYATpreneur and Bank Rakyat UNIpreneur 2024 programme here today.
The minister also noted that the previous RAKYATpreneur 4.0, involving 300 entrepreneurs, had shown positive results, with 63 per cent or 189 participants recording increased sales over the six-month programme period.
He added that 69 per cent or 208 participants had started saving money from their sales, and 62 per cent or 187 participants had created job opportunities for the local community.
On the other hand, Ramanan said UNIpreneur 3.0 had demonstrated awareness involving 500 entrepreneurs in terms of financial empowerment, with 90 per cent or 451 participants having monthly savings.
He said they had also utilised digital platforms to generate income, with 53.8 per cent or 269 participants, running online businesses and 67 per cent or 335 participants, using digital transactions.
Meanwhile, Bank Rakyat chairman Datuk Mohd Irwan Mohd Mubarak said both RAKYATpreneur and UNIpreneur programmes supported the iTEKAD initiative by Bank Negara Malaysia, which enables micro-entrepreneurs to access financing to start and grow their businesses.
He said through the initiative, Bank Rakyat had helped entrepreneurs and underprivileged students enhance their competencies, identify and seize opportunities to remain relevant in the market.
"This support has resulted in a significant paradigm shift, making business outcomes more sustainable and increasing their sources of income.
"The continuation of these two programmes demonstrates our commitment to help drive the country's socioeconomic growth, particularly in enhancing the potential of underprivileged entrepreneurs, including the unserved and underserved financial segments," he added.
As a continuation of both programmes, Bank Rakyat had introduced the Accelerator pilot programme on May 23 to provide alumni of both programmes the opportunity to receive additional funding of up to RM15,000 to further boost their businesses.
A total of 112 business plans were received, and 20 of them obtained funding amounting to a total of RM242,383.