The organisations anticipate RM100 Million Potential Trade Value in Support of MoU Signing
Riyadh, 5 November 2024 – SME Corp. Malaysia has entered into a strategic Memorandum of Understanding (MoU) with the Small and Medium Enterprises General Authority (Monsha’at) of Saudi Arabia, marking a significant milestone in international collaboration for the advancement of Micro, Small, and Medium Enterprises (MSMEs). The agreement was formalised during BIBAN24, an international event hosted by Monsha’at from 5 to 9 November 2024, at the Riyadh Front Exhibition & Conference Centre. The Malaysian delegation, composed of 30 business entities — including 28 high-growth SMEs in the franchise, food, and beverage sectors, along with two cooperatives — is actively participating in business initiatives at BIBAN24, setting their sights on an estimated RM100 million in potential trade value.
The MoU reflects a comprehensive effort by SME Corp. Malaysia, an agency under the Ministry of Entrepreneur and Cooperatives Development (MECD), to drive the transformation of Malaysian MSMEs and expand opportunities for Malaysian firms in Saudi Arabia. By aligning Malaysia’s MSME sector with the ambitions of Saudi Arabia’s Vision 2030, the MoU seeks to bolster cross-border economic collaboration, mutual knowledge exchange, and shared development initiatives, ultimately strengthening bilateral ties between Malaysia and Saudi Arabia.
The MoU outlines several objectives, including the exchange of information and best practices in MSME development, with a focus on establishing enduring frameworks that enhance business growth and resilience. Both nations recognise the importance of resilient, innovative MSME ecosystems in promoting sustainable economic growth and addressing the evolving needs of their entrepreneurial sectors. This partnership aims to foster collaborative solutions for MSME challenges, with an emphasis on capacity building, digitalisation, sustainability, and innovation.
In support of these objectives, the MoU lays the foundation for initiatives designed to build high-growth MSME programmes, improve market access, and facilitate knowledge transfer between Malaysia and Saudi Arabia. Through these actions, SME Corp. Malaysia and Monsha’at aim to stimulate sustainable growth in the MSME sectors of both countries, encouraging the emergence of resilient, dynamic businesses ready to compete on a global scale.
The MoU was signed by Mr Rizal Bin Dato’ Nainy, CEO of SME Corp. Malaysia, and Mr Sami Ibrahim Alhussaini, Governor of Monsha’at. The signing was witnessed by YB Datuk Ewon Benedick, Malaysia’s Minister of Entrepreneur and Cooperatives Development, highlighting the commitment of both governments to fostering a supportive environment for entrepreneurial growth and collaboration.
BIBAN24, under the theme “Global Destination for Opportunities,” seeks to position Saudi Arabia as a leading entrepreneurial hub, creating a platform for international stakeholders to explore potential markets, exchange insights, and foster cross-cultural partnerships. Malaysia’s presence at this global event signifies its dedication to forging meaningful economic partnerships and opening pathways for Malaysian SMEs in foreign markets.
For the Malaysian delegation, BIBAN24 presents a valuable opportunity to connect with Saudi counterparts, establish business networks, and explore joint ventures in sectors such as technology, education, and halal industries. The event also aims to support Malaysia’s aspirations of positioning its SMEs as key players on the global stage, backed by new avenues of growth and innovation cultivated through international partnerships.
With a shared vision of empowering MSMEs, this MoU marks the beginning of a long-term relationship that will benefit both Malaysian and Saudi entrepreneurs, propelling them towards success in the evolving global market.
