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Special fund for Sabah MSMEs
Published on: Sunday, May 03, 2026
Published on: Sun, May 03, 2026
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Special fund for Sabah MSMEs
Ewon said the fund’s scope has been expanded this year to include cooperatives, in addition to entrepreneurs and business associations.
Tenom: The Sabah Government has introduced a RM1 million Special Entrepreneurship Development Fund and expanded the SME-Up 2026 programme to strengthen micro, small and medium enterprise (MSME) entrepreneurs across the State.

Deputy Chief Minister III and Industrial Development and Entrepreneurship Minister Datuk Ewon Benedick said the initiative aims to help entrepreneurs boost production capacity, improve product quality and expand into wider markets.

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“Chief Minister Datuk Seri Hajiji Noor has approved the Special Fund for Sabah MSMEs, starting with RM1 million, to assist entrepreneurs facing current challenges,” he said at the launch of the Sabah MSME Entrepreneurs Carnival 2026 (Tenom Zone) at the Tenom Town Padang, Saturday.

Ewon said the fund’s scope has been expanded this year to include cooperatives, in addition to entrepreneurs and business associations.

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He said assistance would cover start-up capital, product quality enhancement, marketing, purchase of machinery and equipment, as well as human capital development.

Applications are subject to approval at the ministry level, with a maximum allocation of RM20,000.

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Meanwhile, the SME-Up 2026 programme will be extended to several districts statewide to increase participation among local entrepreneurs.

“The SME-Up outreach programme will cover Kota Kinabalu, Tawau, Tenom, Keningau, Membakut, Putatan, Kota Marudu and Kadamaian,” he said.

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The programme provides support in the form of machinery and equipment, including retort machines, trademark registration and halal certification to enhance product competitiveness.

“As of 2025, a total of 5,879 entrepreneurs have received machinery and equipment assistance under this programme,” he added.

Ewon also said the Ministry is strengthening strategic partnerships with local and international supermarkets to widen market access for Sabah products, including plans to penetrate the Peninsular Malaysia market through major retail chains.

He encouraged entrepreneurs with valid and active business licences to apply for assistance under both initiatives.

The three-day Sabah MSME Entrepreneurs Carnival 2026 (Tenom Zone) brings together dozens of local entrepreneurs and government agencies to support grassroots entrepreneurship development.
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