Hong Leong Islamic Bank (HLISB) has rolled out a social finance initiative, HLB Jumpstart – Micro Business.

It provides funding to individuals who cannot secure full-time employment or lack a credit history, giving them the means to start a small business.

The programme aims to help underserved micro-entrepreneurs, including gig workers and homemakers, have a sustainable source of income.

HLISB will disburse funds through two partners, MADCash and AlfieTech, providing zero-profit financing and capital opportunities to help individuals start a business.

MADCash Funding: RM4,000 startup funds with a 12-month payback tenure at a zero-profit rate

AlfieTech: RM1,500 e-commerce credit on AlfieTech's proprietary platform

Recipients of the funds will also be mentored and trained in business management.

EMPOWERING UNDERSERVED COMMUNITIES

Both MADCash and AlfieTech have a common purpose of driving financial inclusion in underserved communities.

MADCash is a syariah-compliant fintech ecosystem builder that uses micro-funding to empower female micro-entrepreneurs to improve their income and credit standing.

AlfieTech is an alternative data intelligence company that also offers digital micro-financing to underserved communities.

HLISB chief executive officer Jasani Abdullah said that HLB Jumpstart – Micro Business is an effort to have a sustainable impact on underserved communities.

"We are encouraged by the positive impact of AlfieTech and MADCash on financing recipients. This proves social finance is an effective way to narrow financing gaps in the country. Underserved communities are empowered through better access to financial services and improved financial literacy.

"As a community bank with 'Community Investment' as a core pillar, we are excited to partner with AlfieTech and MADCash to support the beneficial work they are doing.

"Most importantly, we want to encourage Malaysians to bring their business aspirations and dreams to life, and build a brighter future for themselves, their families and their communities," he said.

HLB Jumpstart – Micro Business is a new extension under corporate social responsibility platform HLB Jumpstart, which provides promising entrepreneurs and social enterprises with opportunities to start sustainable businesses.

The programme also aligns with Bank Negara Malaysia's Financial Sector Blueprint 2022 – 2026 goal to elevate social finance as an integral part of the Islamic finance ecosystem.

https://www.nst.com.my/business/2023/01/871697/hong-leong-islamic-bank-provides-financing-micro-entrepreneurs