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FINANCING PROGRAM

  • FPDSB provides loan facility to companies that are eligible to participate in the forest plantation programme.
  • The quantum of loan given to a successful applicant is as follows;

    Species Rates (RM) per ha In Peninsular Malaysia Rates (RM) per ha In Sabah / Sarawak
    Rubberwood 10,000 13,000
    Forest species and Eucalyptus 8,000 8,000
    Bamboo species and Paulownia 10,000 10,000

  • The terms and conditions of the soft loan are as follows:
    • The original lease agreement is submitted to FPDSB as a security document
    • Sales price of 5.0% + 1.0% (Administration and professional service charge fees)
    • Memorandum of Deposit (MOD) : 5% from total financing
    • The financing period varies by species and includes a grace period and a financing repayment period.
      Species  Loan Period          
      Rubberwood 13 years
      Forest species 13 years
      Bamboo species, Paulownia and Eucalyptus  12 years
    • Grace period  (with yearly compounded interest rate); 
      Species Grace Period         
      Rubberwood 8 years
      Forest species 8 years
      Bamboo species, Paulownia and Eucalyptus  7 years
    • Repayment period (with daily compounded interest rate);
      Species Repayment Period
      Rubberwood 5 years
      Forest species 5 years
      Bamboo species, Paulownia and Eucalyptus  5 years