Start with a short project brief
Put these six points on one page. Estimates are fine at this stage if you make the assumptions clear:
- The purchase or activity: what the money will pay for.
- The improvement: what environmental or social benefit you expect.
- The cost: an initial estimate, with quotations where available.
- The cash flow: where the money for repayments or ongoing payments will come from.
- The ownership: who will own, operate and maintain the asset.
- The evidence: which records support your proposal and how you will measure progress.
For a factory solar project, for example, bring together the supplier's proposal, electricity records, site arrangements and expected payments and savings. This gives you a practical starting point for enquiries; the project still needs to meet the chosen route's criteria.
Establish what the financing will support
You might need money for a specific environmental project, or financing tied to measurable improvements across your business. A project loan focuses on what the money pays for. Sustainability-linked financing connects financing terms to agreed performance goals.
The guidance accompanying the Green Loan Principles explains that distinction. It helps you frame your enquiry before comparing offers.
Use the table as a first shortlist:
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| Your situation | A route to investigate | The next question to ask |
|---|---|---|
| You want to own equipment or another environmental asset | Green loan or a suitable Islamic financing facility | Does the product cover the asset and related costs? |
| You want financing tied to measurable sustainability improvements | Sustainability-linked financing | Can you set suitable targets, collect reliable data and verify progress? |
| You are investing in changes along a transition pathway | Financing supported by a credible transition plan | What milestones, spending and evidence will the financier assess? |
| You want to raise money from investors | Bonds or sukuk with an appropriate framework | Can your organisation manage the issuance process, disclosures, review and reporting? |
| You want a provider to own or operate equipment | A lease, an agreement to buy its power, or an energy-service arrangement, where offered | What will you pay for, and who handles ownership, maintenance and operating risks? |
| Your project may qualify for public support | A relevant guarantee, reimbursement or tax route alongside financing | Which cost is supported, and when must you apply? |
Sukuk are Islamic capital-market instruments. For any route in the table, consider your project arrangements, repayment capacity, costs and the work your team can manage. The amount you need is one part of that decision.
Check how the payments fit your cash flow
Work through the payments before deciding that an offer fits your business.
Ask for the payment schedule and total costs, including any money you must contribute yourself, fees, security and guarantees. Check early-settlement terms too. If a rate can change, ask how that could affect your payments.
If repayments depend on project savings, work through what happens when installation is delayed, output falls short or maintenance costs rise. For a social project, identify the income or committed funding that will cover ongoing costs.
For a lease or service arrangement, read the proposed contract carefully: ownership, maintenance, performance commitments and termination terms can change how the arrangement works for your business. The details depend on the actual offer.
Understand how support fits your funding plan
Loans, guarantees, reimbursements and tax incentives have different roles. Establish what each would do for your proposal:
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| Mechanism | What to establish before relying on it |
|---|---|
| Loan or financing facility | How much is approved, what must be repaid and on what terms |
| Guarantee | Which financing is covered, the applicable coverage and your obligations |
| Cost reimbursement | Which costs qualify, what evidence is needed and when a claim can be made |
| Tax incentive | Which expenditure or income qualifies and the application/compliance conditions |
The Green Technology Financing Scheme (GTFS) has a published guarantee summary for version 5.0. Our GTFS guide explains it and the availability questions to ask. You can also read the official GTFS 5.0 FAQ.
For issuers, the SRI Sukuk and Bond Grant Scheme guide covers external-review cost support, including the older CMM terms and later Budget 2026 proposal. Establish the implementing terms and claim acceptance before budgeting for reimbursement.
For green tax incentives, MIDA's business-project and solar-leasing guideline and MGTC's own-consumption asset guideline use different application sequences. Check the applicant category and timing before committing costs; Incentives and SME support explains the distinction.
Each route has its own assessment. If you hope to combine support, ask the relevant administrators whether your proposed combination is permitted.
Bring the records behind your proposal
Bring your project brief, available financial records and quotations. Explain the improvement you expect and how you will keep track of spending and results. Together, these help the financier understand the business and sustainability sides of your proposal.
For small and medium enterprises (SMEs), CIMB's SME Renewable Energy Financing-i page provides one example: its application documents include financial records, bank statements and a solar-installation proposal. Ask each financier for its own requirements.
If you need to organise environmental, social and governance (ESG) information, the Simplified ESG Disclosure Guide, Version 2 provides a starting point for SMEs.
Approach the right organisation
For a bank-funded route, ask a financier offering the relevant facility about current availability. Bank Negara Malaysia (BNM) explains that its SME funds go through participating financial institutions, which carry out their normal credit assessment. Browse BNM's SME funds.
For bonds or sukuk, begin with an adviser or arranger who can explain how to raise the funds and what requirements apply. The Securities Commission Malaysia's SRI resource hub provides the relevant frameworks.
When you receive an offer, compare the approved amount, costs and commitments with your original project plan. Ask for an explanation of anything that changes how the project would work.