Selangor launches sizable digitalisation matching grant
By Digital News Asia April 22, 2021
- 50% matching grant (max US$1,200) to each SME to subscribe to digital service providers
- Selangor E-Bazar Raya 2021 campaign allocated US$486K in subsidy vouchers
THE Selangor state government has launched the Selangor SME Digitalisation Matching Grant, a US$1.21 million (RM5 million) initiative aimed at helping the state’s small and medium enterprises (SMEs) to digitalise their businesses.
[RM1 = US$0.243]
It has also allocated 50% matching grant or maximum RM5,000 to each SME to subscribe to the chosen digital service providers, Selangor Information Technology & Digital Economy Corporation (Sidec) said in a statement.
According to Selangor chief minister Amirudin Shari, the decision to allocate RM5 million in the form of matching grant is to aid the digitalisation of SMEs in facing the challenges from the Covid-19 pandemic.
This initiative is expected to benefit at least 1,000 SMEs in Selangor, he added.
“SMEs that lack resources to digitalise their businesses are invited to apply for this grant to strengthen the digital reach of their businesses,” he said.
“The Selangor state government wants to assure that merchants and consumers will benefit from the various initiatives and grants provided. We hope many Selangor SMEs will apply for the grant and enjoy the benefits.”
Amirudin said the state’s digitalisation agenda is important as it leads to the creation of a new economy that would contribute to new talents and employment opportunities, especially for the post Covid-19 recovery.
At the same time, digitalisation will improve business competition and productivity needed to face the challenges going forward, he added.
“Instead of subsidising millions of ringgit for temporary relief, we should focus on building a sustainable ecosystem that would encourage startups and technology companies to grow and help to digitalise the traditional economy to increase their productivity and reduce waste.
“It is important for us to cultivate high-impact entrepreneurs that will contribute to innovation, job creation and new wealth as well as having a positive impact to the society.”
Room for growth
Selangor Industry and Trade executive councillor, Teng Chang Khim, believes that there is ample room to expand the digital economy.
Referring to the upcoming Selangor E-Bazar Raya 2021 Campaign, he said the campaign would provide opportunities for SMEs to further expand their businesses.
“Like the previous campaign, the state government will allocate RM2 million in the form of subsidy vouchers and aim to achieve a gross merchandise value (GMV) of RM700 million. The campaign will run from April 15 until May 29,” said Teng.
He added that the Selangor E-Bazar campaign has generated millions of ringgit through direct sales.
This has proven how the digital economy agenda led by the state government has helped businesses to achieve more income online during the Covid-19 pandemic, he claimed.
To qualify for the grant, SMEs will have to fulfil the following eligibility criteria:
For further information, visit here.
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