27 October 2021

On 8 October 2021, the Stamp Duty (Exemption) (No. 14) Order 2021 (“Order”) was gazetted and is deemed to have come into operation on 15 December 2020.

The Order exempts from stamp duty instruments of loan or financing agreements for the High Tech Facility - National Investment Aspirations (“HTF-NIA”) approved under Bank Negara Malaysia’s Fund for small and medium enterprises (“SME”), executed between a participating financial institution and an SME.

The Order:

  • applies to instruments of loan or financing agreements executed pursuant to a letter of offer issued on or after 15 December 2020 but not later than 31 December 2021.
  •  requires the instrument of loan or financing agreement to be accompanied by a letter of offer from the participating financial institution to the small and medium enterprises which states the approval of the loan or financing facility

The RM1 billion HTF-NIA established by Bank Negara Malaysia is aimed at supporting high-tech and innovation-driven SMEs affected by Covid-19 to recover and revitalise the nation’s innovation capacity.

Eligible SMEs include the following:

  • Those in advanced manufacturing and services sectors that are best aligned to deliver the overarching national strategic long-term development goals, as embedded in the National Investment Aspirations; and
  •  SME project participants in key government programmes involved in research, development and innovation for critical technologies identified under national blueprints, from Industry 4.0-related technologies, green technology and biotechnology, to ensure their continuity and completion of those existing projects.