Low Carbon Transition Facility (LCTF)
Overview
BNM financing — taken through a participating bank — to help SMEs in any sector adopt sustainable, low-carbon practices. It funds working capital or capital expenditure (energy-efficient equipment, solar, sustainability certification, etc.), up to RM10mil per SME, tenure up to 10 years, at a rate up to 5% p.a. inclusive of the guarantee fee. This is financing you repay; you apply at a participating financial institution. Allocations run in tranches — confirm availability before applying.
Who is eligible?
- Must have an active SSM business registration.
- Best for funding needs like: general, Automation, Certification.
What this grant covers
- General business growth — advisory, capacity building and operational improvements.
- Automation & machinery — equipment, tooling and systems that lift productivity.
- Certification & standards — product or process certification to enter new markets.
- Provided as financing you repay over an agreed term — not a free grant.
How to apply
- 1
Check you qualify
Confirm you meet the eligibility points above for this grant.
- 2
Get your documents ready
Prepare your documents — SSM business registration, company financials, and quotations or a project proposal for what you want funded.
- 3
Apply through the official channel
Submit your application to BNM — Fund for SMEs (LCTF); if approved, the financing is disbursed and repaid over an agreed term.
- 4
Keep records & claim
Keep receipts and reports, and submit claims or progress updates as the programme requires.
This programme is no longer accepting applications
The Bank Negara Malaysia no longer runs this scheme online. Browse the related grants below for options that are open now.
Need a hand with this application?
Post what you need on the EquatorBiz Marketplace — consultants and service providers WhatsApp you directly. Free for businesses.
Frequently asked questions
Is Low Carbon Transition Facility (LCTF) still open?
The latest intake is "Expired". Check the official source for news of a new round.
How much funding can I get?
Up to RM10M financing (≤5% p.a.). The exact award depends on your project and the agency's assessment.
Do I need an SSM-registered business?
Yes — you need an active SSM business registration to be eligible.
Which businesses or sectors does it support?
It's broadly available across most sectors.
Who manages this grant?
It's administered by Bank Negara Malaysia.
Not sure if you qualify?
Run a free eligibility check or ask EquatorBiz's advisor about this grant.
Related grants
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PENJANA Tourism Financing (PTF)
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Relief and Adaptation Facility (RAFt)
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