In the first half of 2026, Malaysia's SME sentiment index fell to a historic low of 45.1 points, only the second time it has ever dropped below 50. Datuk William Ng, President of SAMENTA, says SMEs are currently battling a margin and cash flow crisis, and recovery will take many months.

We discuss:

• SME Bank’s SME sentiment index at its lowest point in H1 2026.

• Why recovery will take many months, and what operational damage SMEs and MSMEs are still carrying into H2 2026.

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