September-October . 2022 | @ Halal

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FINANCIAL institutions play an essential role in the halal ecosystem . It enables halal players to obtain Shariah-compliant financing for their businesses . The 18th Malaysia International Halal Showcase ( MIHAS ) 2022 witnessed the participation of local and international banks , which showed their interest in the halal industry .

As the pioneer of Islamic banking in Malaysia , Bank Islam Malaysia Berhad made its support for the halal sector visible by taking up one of the pavilions at MIHAS 2022 . Bank Islam took the opportunity to promote the various Shariahcompliant financing solutions offered by the Bank to support the growth of halal SMEs . Among the products are :

• Go Halal SME Financing : RM100 million fund offered exclusively to eligible SMEs enrolled in Halal Integrated Platform ( HIP ).

• SME Biz G . R . O . W Financing Programme : A financing solution for business owners ready to upscale and grow their businesses .

• WinBiz Financing : A programme specifically designed for Malaysian women entrepreneurs under the category of SMEs to cater for their working capital and capital expenses .

• SME Exporter Financing Programme : A financing programme exclusive for SMEs registered as Members of the Malaysia External Trade Development Corporation ( MATRADE ) for global market expansion .

• SMEXpert Mobile App : A mobile application designed to support and enable SMEs to go digital and expand their business within a halal digital ecosystem .

( INSP ) in physical and virtual form was implemented before the exhibition started by MATRADE . The programme connected nearly 400 buyers from 46 countries with 532 Malaysian exporting companies . The virtual INSP programme will be extended until next Nov 15 .

Emphasising the digitalisation of businesses

Also speaking during MIHAS 2022 ’ s opening ceremony was Senator Datuk Lim Ban Hong , Deputy Minister of the Ministry of International Trade and Industry ( MITI ).

He said this year ’ s theme of “ Diversifying Halal Potential ” was very much in line with the government ’ s efforts in increasing diversity and exploring the range of products and services of all participants that feature their variations and uniqueness .

The Covid-19 pandemic , Lim said , has made people aware of the importance of alternative methods in conducting business operations . The widespread use of digital platforms among users also facilitates market access . The digital market and e-Commerce are reported to have reached the figure of RM1 trillion according to statistics from the Department of Statistics

Malaysia in 2021 .

“ The 2022 State of the Global Islamic Economy 2022 Report has stated that almost all halal sectors have benefited from digitalisation transformation . The sectors in question include traditional sectors such as food and beverages , as well as non-traditional sectors such as financial technology or fintech and medicine , including telemedicine which is gaining traction among consumers ,” said Lim .

“ Apart from digitalisation , sustainability is also essential for Malaysian companies to expand their business , especially those new to exporting . Sustainability in producing goods and services , including halal ones , is among the requirements that must be complied with by the international trade community .

“ At MITI and MATRADE , we know sustainability is the backbone of trade in the future . Therefore , it is incorporated in various promotion and development programmes for exporters . We are pleased that this initiative is supported by the private sector , consisting of banking institutions and other stakeholders .”

MITI Minister Dato ’ Seri Mohamed Azmin Ali , who was in Los Angeles to attend the IPEF Ministerial Meeting , joined the opening ceremony virtually .

A MEMORANDUM of Understanding ( MoU ) between Malaysia External Trade Development Corporation ( MATRADE ) and UPM Holdings Sdn . Bhd . ( UPMH ), was signed in conjunction with MIHAS 2022 .

This strategic collaboration aims to accelerate the growth of consultancy , education and training services provided by UPM Holdings , including promoting innovative , green and sustainable products and technologies developed by Universiti Putra Malaysia ( UPM ) to the global market .

UPM is ranked 123rd in QS World University Ranking 2023 and the second-best university in the country . The partnership also reflects MATRADE ’ s commitment to assisting SMEs to embark on the export market and remain competitive globally . It offers a new synergy to MATRADE personnel to upgrade their knowledge and qualifications , specifically in postgraduate programmes .

HYT Cross Border Sdn Bhd ( HYT ), an e-Commerce cross-border facilitator , also signed an MoU with Halal Development Corporation Berhad ( HDC ) and MATRADE at the showcase to facilitate the Halal Integrated Platform ( HIP ) members and Malaysian MSMEs to perform cross border e-commerce export to China .

The MoU is the head start of HYT ’ s assistance for Malaysian exporters to access China ’ s market through the Malaysia Halal Pavillion on JD . com . For this purpose , HYT will provide end-to-end support , including onboarding , demand generation , marketing , payment and fulfilment services for Malaysia ’ s halal products entering China .