Lockman says the operators welcomed the 50% tax exemption, as they have been asking for the incentive for the last three years. — SIA HONG KIAU/The StarThe Budget 2021 matching investment fund for peer-to-peer lending and equity crowdfunding platforms will encourage the public to invest and help boost small and medium enterprises , said industry players.
The budget also aimed to encourage investment in ECF by giving investors a 50% tax break for their investments, capped at RM50,000. She said this would encourage more individual investors to adopt the asset class, while the RM30mil co-investment fund signaled the government’s confidence in the potential of Malaysian SMEs and startups.
During his budget speech, the minister said P2P funding had shown to be an innovative alternative funding source, generating more than RM900mil in funds for SMEs.