Key Takeaways
- Malaysia offers at least 17 active grant and funding programmes for startups, covering everything from idea-stage validation (up to RM150,000) to technology commercialization (up to RM5 million). Most are non-dilutive, meaning you keep 100% of your equity.
- Key agencies include Cradle Fund, MDEC, MTDC, SME Corp, MOSTI, TERAJU, MDV, and MRANTI. Each targets different stages, sectors, and company sizes, so matching the right grant to your startup’s profile is the first step.
- Government allocations and programme funding change by year and publication. Where this article references Budget 2026 allocations (for example, MDEC grants) or 13MP (2026–2030) programme funding (for example, SME Corp MSME programmes), confirm the latest official budget documents and agency announcements. Application windows open and close throughout the year, so checking eligibility early gives you the best shot
Startup grants in Malaysia are the most founder-friendly form of funding you can get. No equity given up, no repayment, no interest. The government and its agencies invest in your startup because they want the Malaysian ecosystem to grow.
The challenge is not a lack of grants. It is knowing which ones exist, which ones match your startup’s stage, and how to apply before the window closes. This guide lists 17 grant programmes that Malaysian startups can apply for right now, with funding amounts, eligibility criteria, and application steps for each.
Budget and national plan allocations change by year and publication. Where this article references Budget 2026 allocations (e.g., for MDEC programmes) or 13MP (2026–2030) programme funding (e.g., for SME Corp MSME programmes), confirm the latest official budget documents and agency announcements before using the numbers in planning. If you have not reviewed your options recently, now is a good time.
If you are looking for a broader view of all funding options beyond grants, including angel investors, VC, and crowdfunding, read our complete guide on 12 ways to get startup funding in Malaysia.
Table of Contents
- Cradle CIP Spark: Up to RM150,000
- Cradle CIP Sprint: Up to RM600,000
- MDEC Malaysia Digital Catalyst Grant (MDCG): Up to RM1 Million
- MDEC Digital Content Grant (DCG): Up to RM500,000
- MDEC Malaysia Digital X-Port Grant (MDXG): Up to RM1 Million
- MDEC MDAG-AI (Malaysia Digital Acceleration Grant for AI): Up to RM2 Million
- MTDC Business Start-up Fund: Up to RM5 Million
- SME Corp Bumiputera Development Fund: Up to RM5 Million
- MOSTI National Technology and Innovation Sandbox (NTIS)
- MIDA Smart Tech Up Grant: Up to RM2 Million
- MATRADE Market Development Grant (MDG): Up to RM300,000
- MYStartup Accelerator: Up to RM1 Million
- TERAJU SUPERB: Up to RM500,000
- MDV LIFTS: Up to RM2.5 Million
- MRANTI Commercialization Fund
- TalentCorp LiKES Internship Grant: RM2,000 per Intern
- MaGIC Programmes and Support
- How to Improve Your Grant Application
- Beyond Grants: Other Funding Options
- Build Your Grant-Ready Startup at WORQ
- Frequently Asked Questions
1. Cradle CIP Spark: Up to RM150,000
Agency: Cradle Fund Sdn Bhd
Who it is for: Early-stage teams and tech-based startups, including individuals (pre-company) and incorporated companies
Funding: Up to RM150,000 (conditional grant)
CIP Spark is Cradle’s pre-seed programme. It is described by Cradle as a conditional grant and is open to both companies and individuals. Funds are typically disbursed via a mix of advance payments and reimbursements, subject to the funding agreement and milestone deliverables.
Source (official): https://cradle.com.my/cip-spark/
What it covers: Market validation, prototype development, proof-of-concept activities
Eligibility (high-level):
- Open to incorporated companies and individuals (see programme terms)
- Technology-based idea/product
- Additional requirements (e.g., incorporation, ownership, company age) depend on the applicant type and the active call
Note: Use the official CIP Spark page and application portal requirements as the source of truth for the current intake.
How to apply: Submit through the Cradle Fund portal. You will need your SSM registration, a business plan, a project proposal with clear milestones, and a budget breakdown. Applications are reviewed on a rolling basis.
2. Cradle CIP Sprint: Up to RM600,000
Agency: Cradle Fund Sdn Bhd
Who it is for: Tech-based companies (seed-stage) focused on commercialisation
Funding: Up to RM600,000 (conditional grant)
Cradle describes CIP Sprint as a conditional grant disbursed via advance payments and reimbursements, with repayment obligations in specific circumstances (e.g., termination or breach) as stated in the funding agreement.
Source (official): https://cradle.com.my/cip-sprint/
CIP Sprint picks up where CIP Spark leaves off. If you already have a working product and some traction (users, revenue, or partnerships), this grant funds your next stage of growth and market entry. At least 60% of the funding must go toward commercialization expenses.
What it covers: Product development, go-to-market activities, scaling operations
Eligibility (high-level):
- Incorporated company
- Technology-based product
- Commercialisation-focused scope and milestones
Note: Exact requirements (including company profile and documentation) are defined in the active call and funding agreement.
How to apply: Same portal as CIP Spark. The review process includes a pitch presentation to the evaluation committee. Prepare your traction data, product demo, and a detailed use-of-funds plan.
3. MDEC Malaysia Digital Catalyst Grant (MDCG): Up to RM1 Million
Agency: Malaysia Digital Economy Corporation (MDEC)
Who it is for: Digital businesses and tech companies with Malaysia Digital status
Funding: Up to RM1 million
MDEC’s published materials commonly describe MDCG as capped at RM1 million and structured as a co-funding grant. The co-funding percentage (for example, 50% of project costs) can vary by call and programme terms, so it is safer to confirm the latest percentage and cost items in the current MDCG page and application documents.
Source (official): https://www.mdec.my/grants/mdcg
MDEC’s grant programmes target companies building digital products and services. The Malaysia Digital Catalyst Grant funds projects that advance AI, cloud computing, data analytics, and other digital technologies. Budget 2026 allocated RM53 million for MDEC’s broader Malaysia Digital Acceleration Grant (MDAG) programme.
Eligibility:
- Registered under the Malaysia Digital status
- Minimum RM50,000 paid-up capital (RM500,000 for majority foreign-owned)
- In operation for at least 1 year
- Project duration up to 1 year
How to apply: Apply through the Malaysia Digital platform. You will need a detailed project proposal, financial projections, and proof of Malaysia Digital registration. Check MDEC’s website for current application windows, as these open at specific times throughout the year.
4. MDEC Digital Content Grant (DCG): Up to RM500,000
Agency: Malaysia Digital Economy Corporation (MDEC)
Who it is for: Creative content companies in animation, digital games, digital comics, and creative technology
Funding: Up to RM500,000 (across three grant types)
MDEC lists three DCG types with ceiling amounts: Mini (RM150,000), Prime (RM500,000), and Marketing & Commercialisation (RM300,000).
Source (official): https://www.mdec.my/grants/dcg
The DCG targets Malaysia’s growing creative tech sector. It operates across three tiers depending on your project scope and stage.
Grant tiers:
- Mini Grant: Up to RM150,000 for development, production, and commercialization. Project duration up to 6 months.
- Prime Grant: Up to RM500,000 for larger-scale content development and production. Project duration up to 9 months.
- Marketing and Commercialization Grant: Up to RM300,000 specifically for bringing existing digital content products to market. Project duration up to 9 months.
Eligibility:
- Local creative content company
- Produces digital content in animation, games, digital comics, or creative technology
- Registered under Malaysia Digital status
How to apply: Log in to the Malaysia Digital platform, fill out the DCG application form, and upload supporting documents. Applications go through MDEC’s review, followed by a pitching session.
5. MDEC Malaysia Digital X-Port Grant (MDXG): Up to RM1 Million
Agency: Malaysia Digital Economy Corporation (MDEC)
Who it is for: Malaysian tech companies ready to expand into international markets
Funding: Up to RM1 million
MDXG is typically communicated as a co-funding grant with a ceiling of RM1 million. Co-funding percentages and eligible cost items can vary by call, so confirm the latest terms inside the current MDXG page and application documents.
Source (official): https://www.mdec.my/grants/mdxg
The MDXG is separate from MATRADE’s Market Development Grant. Where MDG covers general export promotion across all sectors, MDXG specifically targets tech companies looking to commercialize and export digital products and services.
Eligibility:
- Malaysian-incorporated company with Malaysia Digital or MSC Malaysia status
- Minimum RM50,000 paid-up capital (RM500,000 for majority foreign-owned)
- Demonstrated export readiness
- Headquarters in Malaysia
How to apply: Apply through the Malaysia Digital platform. Prepare a project proposal detailing your target markets, commercialization strategy, and projected export revenue. Applications remain open until the fund is fully committed.
6. MDEC MDAG-AI (Malaysia Digital Acceleration Grant for AI): Up to RM2 Million
Agency: Malaysia Digital Economy Corporation (MDEC)
Who it is for: Companies developing, adopting, deploying, or exporting AI-based solutions
Funding: Up to RM2 million
Public releases and grant pages describe MDAG-AI as funding up to RM2 million, typically as a co-funding grant. Exact co-funding percentage, eligible expenses, and intake windows should be verified against the active call documents.
Sources (official): https://mdec.my/grants/mdag-ai and https://www.mdec.my/media-release/news-press-release/395/rm2.9-million-in-strategic-grants-to-advance-ai-and-industrial-digitalisation
Budget 2026 allocated RM53 million for the broader MDAG programme, signaling the government’s push to position Malaysia as an AI hub. MDAG-AI targets high-impact projects aligned with the national AI investment strategy, covering companies across the foundation, enabling, and application layers of AI.
What it covers: AI product commercialization, cross-sector AI application, talent development, and knowledge transfer
Eligibility:
- Must hold Malaysia Digital (MD) or MSC Malaysia status, or have a pending MD application
- Validated AI technology with commercialization potential
- Project aligned with Malaysia’s national AI strategy
How to apply: Apply through the MDEC grants portal during open application windows. The selection process evaluates the commercial viability and national impact of your AI project.
7. MTDC Business Start-up Fund: Up to RM5 Million
Agency: Malaysian Technology Development Corporation (MTDC)
Who it is for: Technology-based startups and SMEs
Funding: Up to RM5 million (or 90% of total project cost) via interest-free Convertible Promissory Notes
MTDC has funded and invested in more than 850 Malaysian companies to date. Their Business Start-up Fund is structured as interest-free Convertible Promissory Notes with an 18-month grace period and a 5-year repayment window. This means you do not pay interest, and repayment only starts after 18 months.
Eligibility:
- Malaysian-incorporated company
- Technology-based business
- Demonstrated potential for commercialization
- Clear business plan with financial projections
How to apply: Contact MTDC directly through their website. The evaluation process includes business plan assessment and due diligence. MTDC also operates a P2P Financing Programme through MicroLEAP for smaller funding needs.
8. SME Corp Bumiputera Development Fund: Up to RM5 Million
Agency: SME Corporation Malaysia
Who it is for: Bumiputera-owned SMEs and startups
Funding: Soft loans up to RM5 million
SME Corp offers several financing programmes, with the Bumiputera Development Fund being one of the largest. The fund provides soft loans at below-market interest rates for business expansion, technology adoption, and working capital. Under the 13th Malaysia Plan, the government allocated RM117 million across eight SME Corp programmes for MSMEs, covering high-growth sectors and inclusivity initiatives.
Eligibility:
- At least 51% Bumiputera ownership
- Registered with SSM
- Operating business for at least 1 year (varies by programme)
How to apply: Apply through the SME Corp portal or visit their nearest regional office. Prepare your business registration, financial statements, and a project proposal.
9. MOSTI National Technology and Innovation Sandbox (NTIS)
Agency: Ministry of Science, Technology and Innovation
Who it is for: Startups and researchers with technology products ready for real-world testing
Funding: RM250,000 to RM5 million depending on sandbox tier (grant and Convertible Promissory Notes)
NTIS provides a regulatory sandbox environment where startups can test their products in real-world conditions without full regulatory compliance. This is especially useful for companies in fintech, healthtech, agritech, and other regulated sectors. It operates across four tiers: Single Site Sandbox (100% grant), Multiple Site Sandbox (70% grant), Commercialization Sandbox (70% mixed funding), and Corporate Sandbox (co-funded with corporate partners).
Eligibility:
- Malaysian-incorporated company (excludes sole proprietorships)
- Technology product ready for pilot testing
- Clear value proposition for the Malaysian market
How to apply: Submit through the MOSTI NTIS portal. You will need a detailed product description, testing plan, and expected outcomes.
10. MIDA Smart Tech Up Grant: Up to RM2 Million
Agency: Malaysian Investment Development Authority (MIDA)
Who it is for: Companies adopting Industry 4.0 technologies
Funding: Matching grant up to RM2 million
The Smart Tech Up Grant helps local businesses adopt smart manufacturing, automation, IoT, AI, and other Industry 4.0 technologies. If your startup builds or deploys these technologies, this grant covers part of the implementation cost.
Eligibility:
- Registered with SSM
- Manufacturing or services sector
- Project involves adoption of Industry 4.0 technologies
How to apply: Apply through the SIRIM Smart Tech Up portal. You will need a project proposal, technology implementation plan, and quotations from technology providers.
11. MATRADE Market Development Grant (MDG): Up to RM300,000
Agency: Malaysia External Trade Development Corporation (MATRADE)
Who it is for: SMEs and startups looking to expand into export markets
Funding: Up to RM300,000 (reimbursable grant, lifetime limit per company)
If your startup sells products or services internationally, the MDG reimburses expenses related to export promotion. This includes trade fair participation, international marketing, product certification for overseas markets, and export-related consultancy.
Eligibility:
- Malaysian-owned SME (at least 60% local ownership)
- Registered with SSM for at least 1 year
- Annual revenue below RM50 million
How to apply: Apply through the MATRADE portal before incurring the expense. The grant works on a reimbursement basis, so you need pre-approval.
12. MYStartup Accelerator: Up to RM1 Million
Agency: MDEC (through the MYStartup platform)
Who it is for: Growth-stage startups ready for structured scaling
Funding: Up to RM1,000,000 in grants and funding
The MYStartup Accelerator provides structured mentorship, market access, and up to RM1 million in funding for startups that have passed the validation stage and are ready to scale. The programme runs in cohorts and includes access to investor networks, corporate partners, and regional expansion support.
Eligibility:
- Malaysian-incorporated company
- Working product with measurable traction
- Scalable business model
How to apply: Apply through the MYStartup platform during open intake windows. The selection process includes a pitch round and evaluation committee review.
13. TERAJU SUPERB: Up to RM500,000
Agency: TERAJU (Bumiputera Agenda Steering Unit, under Ministry of Economy)
Who it is for: Bumiputera startup founders aged 18 to 40
Funding: Conditional grant up to RM500,000 per company (from a RM100 million fund)
SUPERB (Skim Usahawan Permulaan Bumiputera) is a dedicated startup grant for Bumiputera entrepreneurs. Winners of the SUPERB Business Challenge receive funding to develop their ideas into prototypes, proof-of-concepts, or commercial products. The programme also provides mentorship, competency training, and connections to venture capital for follow-on funding. As of December 2025, TERAJU has offered RM1.32 billion in financing to 878 Bumiputera companies across its broader BECF and i-WCPF programmes.
Eligibility:
- Malaysian Bumiputera aged 18 to 40
- New entrepreneur or company operating for less than 3 years
- Must participate in the SUPERB Business Challenge (pitch competition)
How to apply: Applications open across 4 intake windows throughout the year. Apply through the TERAJU programmes portal. You will need to pitch your business idea to the evaluation panel.
14. MDV LIFTS: Up to RM2.5 Million
Agency: Malaysia Debt Ventures Berhad (MDV)
Who it is for: VC-backed or government-funded technology startups
Funding: Up to RM2.5 million in Shariah-compliant financing
MDV is Malaysia’s national technology financier and has funded over 1,000 tech companies since 2002. The LIFTS (Liquidity Financing for Technology Start-ups) programme provides affordable financing to eligible tech startups and MSMEs. MDV set a RM700 million financing target for 2026, covering venture debt, project financing, and contract financing.
Eligibility:
- Company incorporated in Malaysia
- Technology startup backed by venture capital firms or government funding agencies
- Majority Malaysian-owned, or majority of staff are Malaysians, or majority of revenue generated in Malaysia
- Sustainable and scalable business model
How to apply: Submit an online application through the MDV website. MDV evaluates your funding potential, business model sustainability, and alignment with national technology priorities.
15. MRANTI Commercialization Fund
Agency: Malaysian Research Accelerator for Technology and Innovation (MRANTI)
Who it is for: Researchers and startups with R&D products ready for market entry
Funding: Varies by programme (Dana Pengkomersialan for commercialization, Strategic Research Fund for prototyping)
MRANTI serves as Malaysia’s central platform for turning research and innovation into market-ready products. Their commercialization funding covers the gap between R&D and commercial launch. MRANTI also runs the Strategic Research Fund (SRF) under Dana PEMACU MOSTI, which funds prototyping and viability testing in priority areas including mobility, agriculture, and healthtech.
What it covers: Prototype-to-market conversion, viability testing in real environments, commercialization support, industry network access
Eligibility:
- Malaysian-incorporated company or research institution
- Technology product crossing the “valley of death” from proof-of-concept to commercial readiness (TRL 3 to 5 for SRF)
- Project aligned with MRANTI’s priority sectors
How to apply: Apply through the MRANTI portal. For the SRF programme, submit during open application windows. MRANTI also partners with pitchIN for startups seeking equity crowdfunding after the grant stage.
16. TalentCorp LiKES Internship Grant: RM2,000 per Intern
Agency: Talent Corporation Malaysia
Who it is for: SMEs and startups hiring interns
Funding: RM2,000 upfront grant per intern (effective March 2026)
The LiKES (Internship Placement Matching Grant) programme helps startups and SMEs offer structured, paid internships while reducing hiring costs. For 2026, TalentCorp increased the incentive to an upfront grant of RM2,000 per intern.
Eligibility:
- Registered SME or startup
- Offering structured internship programme
- Malaysian-based operations
How to apply: Register through the TalentCorp portal and submit your internship programme details.
Verification status (last checked: 23 Mar 2026)
This article summarises programmes that frequently update their terms, intakes, and eligible cost items. Treat the official programme pages and current call documents as the source of truth.
Source links (official starting points)
- Cradle CIP Spark: https://cradle.com.my/cip-spark/
- Cradle CIP Sprint: https://cradle.com.my/cip-sprint/
- MDEC MDCG: https://www.mdec.my/grants/mdcg
- MDEC DCG: https://www.mdec.my/grants/dcg
- MDEC MDXG: https://www.mdec.my/grants/mdxg
- MDEC MDAG-AI: https://mdec.my/grants/mdag-ai
- MTDC Business Start-up Fund: https://www.mtdc.com.my/business-start-up-fund/
17. MaGIC Programmes and Support
Agency: Malaysian Global Innovation and Creativity Centre (MaGIC)
Who it is for: Startups at all stages
Funding: Varies (programme-specific grants, advisory, and workspace access)
MaGIC operates as a one-stop hub for Malaysian startups, offering free advisory, workshops, networking events, and connections to funding agencies. While MaGIC is not a direct grant provider for most programmes, it connects startups with the right funding bodies and provides structured support that strengthens your grant applications elsewhere.
How to apply: Register on the MaGIC platform and join their upcoming programmes and events.
How to Improve Your Grant Application
Most grant rejections come down to a few common problems. Avoid these and your chances go up immediately.
Be specific with your project scope. Vague proposals get rejected. Instead of “we will develop our platform,” describe exactly what you will build, the timeline, the milestones, and the measurable outcomes.
Match the grant to your actual stage. Do not apply for a growth-stage grant if you are still validating your idea. Agencies can tell when a startup is over-reaching. Apply for the programme that matches where you are today.
Show traction, even if it is small. Customer interviews, waitlist sign-ups, LOIs from potential partners, or a working prototype all count. Grants go to teams that demonstrate they can execute, not just plan.
Prepare a realistic budget. Break down every line item. Show that you have thought through how the money will be used. Inflated budgets are a red flag.
Stack your applications. You can apply to multiple grants from different agencies at the same time. A Cradle CIP Spark grant does not prevent you from applying to MDEC or MTDC. Non-dilutive funding from different sources can be combined.
If you are preparing to pitch investors alongside your grant applications, our guide on building a startup pitch deck in Malaysia covers the exact structure and documents that Malaysian evaluators and investors expect.
Beyond Grants: Other Funding Options
Grants are the best starting point, but they are not the only option. Once you have validation and traction, other channels open up:
- Angel investors provide RM50K to RM1M in seed-stage capital alongside mentorship and network access. Our guide on venture capital and angel investors in Malaysia covers who the active players are and how to connect with them.
- Equity crowdfunding (ECF) and P2P lending are SC-regulated platforms that have channeled over RM10 billion to Malaysian businesses. Read our breakdown of equity crowdfunding and P2P lending for startups to understand which channel fits your needs.
- Venture capital firms invest RM3M to RM10M+ at Series A and beyond, providing capital and strategic support for high-growth companies.
For a complete overview of all 12 funding paths available, read our pillar guide: 12 ways to get startup funding in Malaysia.
Build Your Grant-Ready Startup at WORQ
A strong grant application starts with a strong foundation. At WORQ, we bring together founders, mentors, and business professionals across Kuala Lumpur in coworking spaces designed for startups that are serious about growing.
Our community runs regular events, workshops, and networking sessions where you can sharpen your pitch, get feedback on your business plan, and connect with other founders who have successfully secured grants.
For startups watching their burn rate, our office calculator shows you a side-by-side comparison of costs between a WORQ workspace and a conventional office lease. That saved overhead means more budget for product development and grant matching.
Start with a hot desk or a private office and scale as your team grows. Browse WORQ locations across KL to find your base.
Frequently Asked Questions
Can I apply for multiple startup grants at the same time in Malaysia?
Yes. Different agencies operate independently, so you can apply to Cradle, MDEC, MTDC, TERAJU, and MDV grants simultaneously. Non-dilutive funding from different sources can be combined, and having one grant on your record can strengthen applications for others.
Do startup grants in Malaysia require repayment?
Many government programmes are structured as grants, but terms differ.
- Cradle CIP Spark and CIP Sprint are described by Cradle as conditional grants, with repayment obligations in specific circumstances (e.g., termination or breach) under the funding agreement.
- For MDEC programmes, the assistance is typically presented as grants and co-funding, but applicants should confirm the latest terms for the active call (including clawback, audit, and compliance obligations).
This article is informational and readers should verify the latest funding agreement terms before applying. MTDC’s Business Start-up Fund is structured as interest-free Convertible Promissory Notes, which do require repayment after an 18-month grace period but carry no interest. MDV LIFTS is a financing programme with repayment terms.
What documents do I need to apply for a startup grant?
The standard requirements across most Malaysian grants include SSM company registration, a business plan, a project proposal with milestones and budget, financial statements (if available), and a team profile. MDEC grants also require Malaysia Digital status. Some grants like CIP Sprint and SUPERB require a pitch presentation or product demo.
How long does it take to get approved for a startup grant?
Timelines range from 4 to 12 weeks depending on the agency and programme. Cradle grants tend to be faster (4 to 8 weeks). MDEC and MTDC programmes may take 8 to 12 weeks due to more detailed evaluation processes. TERAJU SUPERB follows intake windows with a business challenge format, so timing depends on the cohort schedule.
Are startup grants only for tech companies in Malaysia?
Not all. While Cradle, MDEC, and MDV focus on technology-based startups, SME Corp programmes cover a wider range of sectors. MATRADE’s MDG is open to any exporting SME. TERAJU SUPERB supports Bumiputera entrepreneurs in any sector. The LiKES internship grant applies to all industries. MaGIC provides support across all stages and sectors. Check each programme’s specific eligibility criteria to confirm your sector qualifies.
What new grant funding was announced in Budget 2026?
Budget 2026 allocated RM53 million for MDEC’s Malaysia Digital Acceleration Grant (MDAG) programme, RM117 million across eight SME Corp programmes under the 13th Malaysia Plan, and extended the Green Technology Financing Scheme (GTFS 5.0) to December 2026 with RM1 billion in financing. TERAJU also reported RM1.32 billion in financing offered to 878 Bumiputera companies through its BECF and i-WCPF programmes as of December 2025.
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