Buyer credit

• Financing for foreign buyers of Malaysian goods and services
• Eligibility:
  - The supplier/contractor must be a Malaysian-owned and controlled company
  - Product exported from Malaysia must be of Malaysian origin
• Maximum loan amount: Up to 85% of the project cost or contract value
• Tenor:
  - Private foreign company: Up to 10 years
  - Foreign government: Up to 15 years
• Interest rate:
  - Cost of funds plus a spread based on risk assessment considerations
• Currency: USD, EUR, and other currencies at agency’s discretion 
• Repayment: Monthly, quarterly, or semi-annual options
• Disbursement: Directly to contractor, supplier, or project owner
• Fees: Processing fee of 1.0% of the financing amount

Export of services

• Available to Malaysian-owned and controlled companies engaged in the provision of services for the global market
• Eligibility:
  - The service provider/contractor must be a Malaysian-owned company
• Maximum loan amount: Up to 70% of the project cost or contract value
• Tenor: Up to 5 years
• Interest rate: Cost of funds plus spread
• Currency: MYR, USD, EUR, and other acceptable currencies
• Repayment: Monthly, quarterly, or semi-annual options
• Disbursement:
  - Directly to supplier
  - Directly to the borrower for overhead expenses or as reimbursement of previously incurred expenses
• Fees: Minimum processing fees of 1.0% of the financing amount; fees are waived for SMES

Buyer credit guarantee

• Malaysian exporters can help the overseas buyer secure a long-term Malaysia EXIM Bank guaranteed financing
• Covered tenor: 3–6 months beyond invoice due date
• Eligibility:
  - Existing contract with minimum value of MYR 2 million or foreign currency equivalent
  - The commercial contract must have a minimum Malaysian content of 30% in the form of goods and services
  - Product disclosure sheet must be included with application
• Cover:
  - The lending bank can finance up to 85% of the contract value, while the 15% balance must be paid directly by the buyer to the exporter as down payment prior to the start of the credit period
  - For public buyers, 100% financing is allowed
• Repayment tenor: Between 2 and 15 years
• Fees:
  - Processing fee of 1% (subject to change) on insured amount
  - Minimum MYR 1,000 and a maximum MYR 20,000 (or foreign currency equivalent) 

Supplier credit

• Financing for Malaysian manufactures and traders’ export trade financing requirement
• Products:
  - Pre-shipment: Working capital for production of goods
  - Post-shipment: Finance shipment amount of invoice
• Eligibility: Companies registered under Company Act 1965
• Maximum loan amount:
  - Pre-shipment: Up to 85% of export order value
  - Post-shipment: Up to 100% of export invoice
• Tenor:
  - Pre-shipment: Up to 120 days (longer exceptionally)
  - Post-shipment: Up to 180 days (longer exceptionally)
• Interest rate: Cost of funds plus spread
• Currency: MYR, USD, and EUR currencies at agency’s discretion
• Repayment: Monthly, quarterly, or semi-annual
• Disbursement:
  - Pre-shipment: Direct to the local suppliers or exporters
  - Post-shipment: Direct to exporter 
• Fees: 1.0% on the financing amount

Export trade credit insurance

• Post-shipment insurance against non-payment by foreign buyers
• Term: 1 year with annual renewals
• Risk exposure commences when the goods are shipped to overseas buyers
• Risks covered: Commercial and political
• Coverage percentage:
  - Commercial: Up to 90%
• - Political: Up to 95% 
• Maximum financing size:
  - Medium-term: USD 10 million
  - Long-term: No limit
• Credit terms: Up to 180 days
• Eligibility:
  - Malaysian entities registered under Companies Act of 1965
  - Minimum 2 years in operation
  - No adverse track record in the credit database
  - Minimum capital of MYR 100,000
  - Evidence of export during the previous 12 months
• Fees:
  - Credit limit application fees: MYR 250 per buyer
  - Annual review of buyer: MYR 250

ADB-EXIM trade finance program

• EXIM Bank confirms L/C’s issued by 78 Asia Development Bank participating issuing-banks from 16 Asian countries
• Eligibility:
  - Exporter must be a Malaysian-incorporated company
  - Trade between Malaysia and 43 ADB Developing Member Countries
  - Goods that are not on the list of ADB excluded goods and contracts
• Guarantee amount: Up to 100%
• Tenor: Matches L/C terms
• Currency: MYR, USD, EUR, and other currencies
• Fees: 0.1% of the guarantee amount

Other products

• MalaysiaKitchen financing facility
• Bond risk insurance
• Overseas project financing
• Overseas contract financing
• Overseas investment financing