Government Hopes To Increase Number Of Local Franchisors Venturing Overseas (Exim Bank)

KUALA LUMPUR, March 12 (Bernama) -- The government hopes to increase the number of local franchisors venturing overseas by between 10 and 15 per cent by year-end. Domestic Trade, Co-operatives and Consumerism Deputy Minister Datuk Rohani Abdul Karim said to date, there were 47 local franchisors in 50 countries with 1,420 outlets.

Source from (Bernama): http://www.bernama.com/bernama/v7/bu/newsbusiness.php?id=933900
Published: March 13, 2013

Source from (The Star Online): http://biz.thestar.com.my/news/story.asp?file=/2013/3/13/business/12829556&sec=business
Published: March 13, 2013

Source from (The Sun Daily): http://www.thesundaily.my/news/635252
Published: March 13, 2013



She was speaking to reporters after witnessing the signing of a memorandum of understanding between Export-Import Bank of Malaysia (Exim) and the Malaysian Franchise Association (MFA) here Tuesday.

Exim Chief Executive Officer Datuk Adissadikin Ali signed on behalf of the bank while MFA was represented by Chairman Abdul Malik Abdullah.

Rohani said the top local franchisors were Nelson's (675 outlets), Deli Fresh (481 outlets), Secret Recipe (25 outlets), England Optical (21 outlets) and Old Town White Coffee Kopitiam (21 outlets).

She said last year the franchising sector had contributed RM24.3 billion to the country's gross domestic product (GDP).

"We take these positive developments as good signs, not only to the country's economic growth as a whole, but also in strategically creating a fertile environment," she said.

On the agreement, Adissadikin said Exim Bank would provide funding, risk management tools and advisory to local companies operating and investing overseas.

He said allocation of funds has also been made to promote Malaysia's local franchises under the MalaysiaKitchen Financing Facility.

Adissadikin said the government has allocated RM180 million to Exim Bank to manage the fund for the purpose of setting up or expanding existing Malaysian restaurants overseas.

"We have disbursed close to RM20 million and supported at least five restaurants.

"The balance of RM160 million will be available to those eligible for franchises, adding that it will be based on their audited accounts and at least three years of experience," he said.

Adissadikin said there are more funds under the MalaysiaKitchen Financing Facility for Malaysians who want to set up restaurants overseas.

He also said with the collaboration with MFA, they would be able to find those deserving franchises as MFA have their data and records.

"With the co-operation with MFA, we hope for the franchise players to embark on this opportunity for businesses to move forward," said Adissadikin.

-- BERNAMA