4th IR CATALYST GRANT (4ICG)

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HOME | 4TH IR CATALYST GRANT (4ICG)

What Is 4th IR Catalyst Grant (4ICG)?

4ICG is designed to catalyse the use and development of IR4.0 technology into key business verticals as outlined in the National 4IR Policy.

The grant will be used solely for the purpose of co-creation, problem-solving and commercialisation of 4IR solutions.

Our Objectives

To support the scaling up of
Malaysian-based technology
companies into the global arena by way of co-creation, problem-solving, innovation, development and
commercialisation of disruptive or innovative products or services for
the global market in order to build Malaysian-based global icons

To Increase productivity, product/service quality, improve quality of life and preservation of
ecological integrity of 10 key economic sectors and 6 supporting
sectors of the Malaysian economy as outlined in the National 4th IR Policy

Grant Amount

For Local Company

Up to fifty percent (50%) of the total project cost, subject to a ceiling limit of RM2,000,000 whichever is lower

Project Duration: Up to 1 Year

*Duration: Total fund for project duration up to one (1) year

For Foreign Owned Company

Up to thirty percent (30%) of the total project cost, subject to a ceiling limit of RM2,000,000 whichever is lower

Project Duration: Up to 1 Year

*Duration: Total fund for project duration up to one (1) year

ELIGIBLE BENEFICIARIES

For Local Company

  1. Incorporated in Malaysia under Companies Act 1965 or the Companies Act 2016;
  2. Minimum paid up capital of at least RM20,000 for companies;
  3. Active and minimum of 51% equity held by Malaysian(s) as per shareholding structure in the SSM.

For Foreign-Owned Tech-Company

  1. Incorporated in Malaysia under Companies Act 1965 or the Companies Act 2016;
  2. Active and minimum issued and paid up capital of RM500,000.

Other Criteria

  1. In operation for at least one (1) year.
  2. Not the subject of liquidation/winding up /bankruptcy order and has no going concern issue*. (*If the Applicant has going concern issue (as reported in their latest audited account, the Applicant to provide a letter of  undertaking by the shareholder and/or director of the Applicant to undertake that in the event that their application is approved, the Applicant shall perform its obligations under the terms & conditions to be issued by MDEC and to provide financial support to the Applicant to enable the Applicant to meet its obligations and/or liabilities under the terms & conditions).
  3. Company director/shareholder to declare and disclose if there is any business relationship/family relationship with any of MDEC’s director or employee.
  4. Company director/shareholder to declare if they are under any litigation.
  5. Company director/shareholder to declare if they are blacklisted by MACC.
  6. Companies with common shareholder/s can only submit application for one application for the grant applied within MDEC (not including venture capital investors and registered market operator e.g: Equity Crowdfunding, ECF Platforms.
  7. If company previously has received any MDEC/government grant, the Applicant must:
    1. Demonstrate the completion of the funded project/s;
    2. Declare any notice of non-compliance/breach being recorded during the period of the funded project/s
  8. The business nature of company is technology related services.

SPECIFIC CONDITIONS

The Applicant is required to meet the following specific condition throughout the project period:

  • The project under application must be new. Projects in progress will not qualify

  • The Applicant must demonstrate that it has secured the commitment of the end-user to fund their share of the project cost at the time of application (Agreement/LOI/MOU/PO)

  • The Applicant must procure approved cost items from Malaysian incorporated organisations for ecosystem development purpose unless there is valid justification provided such as no local supplier, or is counter productive

  • End-users are to come from the following verticals as outlined in the National Fourth IR Policy:

  • Key Sector: Wholesale and retail trade/Transportation and logistics/Tourism, finance, and insurance/Professional, scientific, and technical services/ Utilities/Manufacturing/ Healthcare/Agriculture/Education or

  • Supporting sectors: Construction/Real estate/Mining and quarrying/Information and communication services/Arts, entertainment, and recreation services/ Administrative and support services

  • Technology solutions to embed any combination elements of the following: Artificial intelligence/Internet of Things/Blockchain/Cloud computing and big data analytics

Key Sectors

Supporting Sectors

Construction

Arts, Entertainment & Recreation

Real Estate

Administrative & Support Services

Information & Communication Services

Mining & Quarrying

Foundational Technology

Artificial Intelligence

Internet of Things

Cloud Computing

Blockchain

Big Data Analytics

Application Documents Required

Mandatory documents for submission:

  1. Fully completed and signed application form.
  2. Company Profile.
  3. Incorporated for more than 1 year: Company’s financial statement (Copies of 1 year latest audited account).
  4. Board of Director Resolution on the appointment of authorized signatory as per template.
  5. Project Proposal.
  6. Provide proof of project completion (i.e closure letter from the ministries / agencies). For applicant applying or previously rejected funds.
  7. Supporting documents evidencing outsourced /collaboration portion of the project as per project costing.
  8. Declaration by company on its solvency status.
  9. Certified true copy (CTC) of award(s)/ recognition(s) received in the past 5 years.
  10. Supporting documents confirming End-User partner has agreed to fund their share of the project cost.
  11. MDEC reserves the right to request additional information from applicant at any time.

Application Process

Step 1

Register and Login with your credentials to GAIN Awards Platform


Step 2

Click “Start Application” under My Applications


Step 3

Select Department “Grants and Funding”


Step 4

Select Program “4IR Catalyst Grant”


Step 5

Provide your company details and upload your application form and supporting documents

Download the application form here

Step 6

Click “Submit Application” once completed (Deadline by 19th May – 30th June 2022)


Step 7

Completeness & Compliance Checking by MDEC


Step 8

Pitching Session by Applicant


Step 9

Approval Process


Step 10

Application Result


Let's Build The Future Together

Get your Matching Grant up to RM 2,000,000 with 4th IR Catalyst Grant

Frequently Asked Questions

1. What is 4IR Catalyst Grant (4ICG)

4ICG is designed to catalyse the use and development of IR4.0 technology into key business verticals as outlined in the national 4th IR policy.

Learn More About 4IR Catalyst Grant Here

2. What can it be used for?

The grant will be used solely for the purpose of co-creation, problem-solving and commercialization of 4th IR solutions.

3. What are the expected outcomes of 4th
IR Catalyst Grant?

  • Increased productivity and/or product/service quality, improve quality of life, preservation of ecological integrity arising from the use of 4th IR technologies;
  • Visibility of Malaysian-based tech companies;
  • Growth in revenue and exports from Malaysian-based 4th IR tech companies.

4. Who can apply for this grant?

The Applicant must be a company with the registered business activities comprising primarily in technology development and/or implementation activities.

5. What are the eligibility criteria?

The Applicant is required to always meet the following criteria and to continuously meet the criteria throughout the project period:

  1. Local Company
    1. Incorporated in Malaysia under Companies Act 1965 or the Companies Act 2016;
    2. Minimum paid up capital of at least RM20,000 for companies;
    3. Active and minimum of 51% equity held by Malaysian(s) as per shareholding structure in the SSM.

Foreign owned:

    1. Incorporated in Malaysia under Companies Act 1965 or the Companies Act 2016;
    2. Active and minimum issued and paid up capital of RM500,000.
  1. In operation for at least one (1) year.
  2. Not the subject of liquidation/winding up /bankruptcy order and has no going concern issue*. (*If the Applicant has going concern issue (as reported in their latest audited account, the Applicant to provide a letter of  undertaking by the shareholder and/or director of the Applicant to undertake that in the event that their application is approved, the Applicant shall perform its obligations under the terms & conditions to be issued by MDEC and to provide financial support to the Applicant to enable the Applicant to meet its obligations and/or liabilities under the terms & conditions).
  3. Company director/shareholder to declare and disclose if there is any business relationship/family relationship with any of MDEC’s director or employee.
  4. Company director/shareholder to declare if they are under any litigation.
  5. Company director/shareholder to declare if they are blacklisted by MACC.
  6. Companies with common shareholder/s can only submit application for one application for the grant applied within MDEC (not including venture capital investors and registered market operator e.g: Equity Crowdfunding, ECF Platforms.
  7. If company previously has received any MDEC/government grant, the Applicant must:
    1. Demonstrate the completion of the funded project/s;
    2. Declare any notice of non-compliance/breach being recorded during the period of the funded project/s
  8. The business nature of company is technology related services.

6. What are the eligible expenses that can be claimed under the 4ICG?

  • The grant may be utilised to undertake the following activities:
    • Co-create, problem-solving, innovate, and deploy 4th IR solutions in partnership with an end-user.
  • The expenditure eligible as the Approved Claimable Cost are the approved project costs that are critical to the project success as follows:
  1.  
  2. Expenses include:
    • Salary
    • Cost of IT Hardware and or IT equipment.
    • Cost of Software associated.
    • License fee.
    • Process redesign.
    • Testing and certification costs associated with the development of the project.
    • IP Filing.
    • Calibration (as part of the pilot project implementation).
    • Training cost (as part of the pilot project implementation).

The following are non-eligible expenses to be claimed under the Approved Claimable Cost:

  • Non-eligible expenses:
    • Outsourcing outside the country.
    • Any form of taxes.
    • Expenses in obtaining certification & accreditation.
    • Maintenance of plant / equipment.
    • Mobile phones.
    • Tablets, laptops and personal computer.
    • Camera.
    • Furniture or any office interior materials.
    • Travelling expenses.
    • Coaching and mentoring.
    • Utilities.
    • Office rental.
    • Audit fee.
    • Secretarial fee.

7. What is the amount of the grant?
 

Local owned company:
Up to 50% of total project cost or up to RM2 Million whichever is lower.

Foreign owned company:
Up to 30% of total project cost or up to RM2 Million whichever is lower.

8. What is the reimbursement process of the grant?
 

  1. MDEC to reimburse and pay to the Recipient the amount of the approved claimable cost incurred by the Recipient upon satisfactory of completion of each project deliverables and submission of relevant supporting documents within the timeline specified in the terms and conditions to be issued by MDEC.
  2. The submission of the reimbursement by the Recipient shall include the financial details relating to the project (in such format as may be specified by MDEC) which have been duly verified by an independent external auditor, to be appointed by the Recipient at the Recipient’s own costs, together with evidence acceptable to MDEC, confirming among other things, the amount of approved claimable costs incurred and requested by the Recipient.

9. What is the project duration under this grant?
 

Project development period: Up to twelve (12) months.

10. Are there any other specific conditions for the grant?
 

Yes, below are the specific conditions for the grant:

  1. The project under application must be new. Projects in progress will not qualify.
  2. The Applicant must demonstrate that it has secured the commitment of the end-user to fund their share of the project cost at the time of application. Applicants who can demonstrate this requirement may request for a mobilisation payment not exceeding twenty percent (20%) of the grant amount upon signing of the letter of offer issued by MDEC.
  3. The applicant must procure approved claimable cost items from Malaysian incorporated organisations for ecosystem development purpose unless there is valid justification provided such as no local supplier, or is counter productive.
  4. If outsourcing cost is involved , MDEC has the right to conduct background checking to the outsource parties to ensure there is no conflict of interest.
  5. End-users are to come from the following verticals as outlined in the National IR4.0 Policy –
    1. Key sectors: wholesale and retail trade | transportation and logistics | tourism | finance and insurance | Professional, scientific and technical services |utilities | manufacturing | healthcare |agriculture | education
    2. Supporting sectors: construction | real estate | mining and quarrying| information and communication services | arts, entertainment, and recreation services | administrative and support services
    3. Technology solutions to embed elements of the following – Artificial intelligence | Internet of Things | Blockchain | Cloud computing and big data analytics

11. How to apply?
 

MDEC will be promoting 4IR Catalyst Grant (4ICG) on MDEC’s corporate website and social media platforms with links to an online application form.

  1. Interested companies can visit the 4ICG website for more information https://mdec.my/4icg/
  2. Applicant to complete the 4ICG application form and submit the application form together with the required supporting documents and upload it at https://gainmdec.awardsplatform.com/

12. What are the steps to submit and upload the application form and supporting documents?

  1. Register and Login with your credentials to GAIN Awards Platform: https://gainmdec.awardsplatform.com/
  2. Click “Start Application” under My Applications
  3. Select Department “Grants and Funding”
  4. Select Program “4IR Catalyst Grant (4ICG)”
  5. Provide your company details and upload your application form and supporting documents
  6. Click “Submit Application” once completed (Deadline by 30th June 2022)

13. When is the opening and the closing date of the grant?

Companies can start their application from 19th May 2022 until 30 June 2022.

14. What is the process after the submission?

MDEC verifies application based on the eligibility criteria and will notify the applicants via email to participate in the pitching session.

Should you have any enquiries with regards to the application, kindly contact our Client Contact Centre at 1-800-88-8338 or [email protected].

15. What is the mechanisms of awarding the grant?

The approval given is subject to a mutually agreed time-bound deliverables/milestones and as specified in the terms & conditions to be issued by MDEC.