Malaysian Indian entrepreneurs and small business owners will have an opportunity to strengthen their businesses ahead of Deepavali following the introduction of a special RM30 million financing scheme under the BERKAT Deepavali initiative.
Announced by the Ministry of Entrepreneur Development and Cooperatives (KUSKOP) on October 3, 2026, the initiative aims to support Indian entrepreneurs who require additional working capital to prepare their businesses for the festive season, which falls on November 8, 2026 this year.
Implemented through TEKUN Nasional, the scheme offers financing of up to RM30,000 per eligible entrepreneur, at an interest rate of 3% per annum and a repayment period of up to 12 months.
What is BERKAT Deepavali for?
BERKAT Deepavali is an initiative particularly aimed at small traders, hawkers and entrepreneurs who experience increased business demand during the Deepavali season, allowing them to purchase additional stock, supplies and equipment without facing immediate financial constraints.
Entrepreneur Development and Cooperatives Minister Steven Sim Chee Keong said the financing facility would help entrepreneurs prepare for the festive season, particularly those operating Deepavali bazaars and businesses in Little India.
He highlighted that having access to working capital at the right time is important for small business owners who need to increase their stock and make necessary preparations ahead of the celebrations.
Who Can Apply for BERKAT Deepavali?
The special financing scheme is open to Malaysian citizens from the Indian community aged between 18 and 65. Existing TEKUN Nasional borrowers are also eligible to apply, provided their total accumulated financing does not exceed RM100,000. The initiative is intended to benefit various categories of small businesses, particularly those involved in activities related to Deepavali preparations.
These include:
- Food and beverage businesses.
- Clothing and traditional attire retailers.
- Deepavali bazaar traders and hawkers.
- Businesses selling festive equipment, decorations, and other related supplies.
The financing can be used as additional working capital to help entrepreneurs increase their inventory and meet the anticipated demand during the festive period.
Financing Amount, Profit Rate and Repayment Period
Under BERKAT Deepavali, KUSKOP has allocated a total of RM30 million to support eligible Indian entrepreneurs nationwide.
Successful applicants can receive financing of up to RM30,000, with a profit rate of three per cent per annum and a repayment period of up to 12 months.
The facility is designed to provide short-term financial support, particularly for smaller businesses that need additional funds to manage their operations during the busy festive season.
It is important to note that BERKAT Deepavali is a financing facility rather than a cash grant, meaning successful applicants are required to repay the amount received according to the agreed financing terms.
How to Apply?
Applications for BERKAT Deepavali are open from October 3 until November 8, 2026.
Interested entrepreneurs can submit their applications through either of the following channels:
TEKUN Online
Applicants can submit their financing applications through the TEKUN Online application system.
TEKUN Nasional Branch Offices
Entrepreneurs may also visit any TEKUN Nasional branch nationwide to enquire about and submit their applications.
For further information, applicants can visit the official TEKUN Nasional website.
Faster Application Process for Small Entrepreneurs
To ensure that eligible entrepreneurs can access the financing when they need it most, KUSKOP is also prioritising a faster and more accessible application process.
According to Steven Sim, the ministry has instructed the relevant agencies to facilitate and expedite applications so that small business owners will not miss important business opportunities due to delays in securing financial assistance.
Decisions on financing applications below RM100,000 are expected to be provided within seven days. The ministry will also consider alternative credit assessment methods for applicants with less favourable credit records, including evaluating their business cash flow.
However, all applications remain subject to the necessary auditing procedures and governance requirements.
Previous BARAKAT Initiative Distributed RM35 Million to 5,590 Entrepreneurs
The introduction of BERKAT Deepavali follows the success of the previous Biaya Ramadan Perniagaan Rakyat (BARAKAT) financing scheme, which was implemented in conjunction with Hari Raya Aidilfitri earlier this year.
Through the initiative, TEKUN Nasional distributed RM35 million in financing to 5,590 entrepreneurs between February and March, exceeding its initial allocation of RM30 million.
The previous initiative demonstrated the demand for accessible financing among small business owners, particularly those who require additional working capital during major festive periods.
Through BERKAT Deepavali, KUSKOP hopes to extend similar support to Malaysian Indian entrepreneurs, helping them prepare for the festive season while creating opportunities to strengthen their businesses.
Source: KUSKOP Facebook
