The MCEP Manufacturing Support Programme (MSP) is a concessionary funding instrument administered by the Industrial Development Corporation (IDC) under the broader Manufacturing Competitiveness Enhancement Programme (MCEP). It is designed to strengthen South African manufacturing businesses by providing affordable, blended loan finance for both operational and capital expenditure needs.
The programme comprises two distinct facilities. The Working Capital Facility targets manufacturers that require funding for production-related costs (excluding direct salaries and wages), helping them sustain and scale operations. The Plant & Equipment Facility supports the acquisition of machinery and equipment, enabling manufacturers to modernise and expand their production capacity.
Both facilities are priced at a fixed interest rate of 2.5% and are limited to R30 million per applicant in total MCEP funding. The MSP funds are blended with IDC financing at a leverage level of at least 20% from IDC, meaning applicants must also draw on IDC’s own balance sheet as part of the transaction.
Eligibility is restricted to manufacturers classified under Standard Industrial Classification (SIC) Code 3, which includes sectors such as Agro-Processing, Automotive, and Clothing & Textiles. Applicants must be willing to commit to achieving at least BBBEE Level 4 within 24 months and must not contemplate workforce reductions during the facility term.
The programme is available to start-ups, expanding businesses, and expansionary acquisitions, making it a versatile tool for businesses at various stages of their growth trajectory within the manufacturing sector.
Working Capital Facility: Available for working capital requirements relating to production costs only (excluding direct salaries and wages). Intended to assist manufacturing companies in meeting day-to-day operational production expenses.
Plant & Equipment Facility: Available for the acquisition of plant and equipment. Intended to enable manufacturers to invest in machinery and production infrastructure for start-ups, expansions, and expansionary acquisitions.
Applicants should approach the IDC directly to apply for the MCEP Manufacturing Support Programme. The application is assessed against the qualifying criteria for the relevant facility (Working Capital or Plant & Equipment). Applicants must demonstrate that their business falls within SIC Code 3 manufacturing, that MCEP funds will be blended with IDC financing at the required leverage ratio, and that they can commit to the BBBEE Level 4 target within 24 months. Applications can be initiated via the IDC website’s funding application portal or by contacting IDC directly. The IDC will evaluate the application and, upon approval, the applicant must complete the first drawdown within the stipulated timeframe (6 months for Working Capital; 12 months for Plant & Equipment).
Must blend MCEP funds with IDC funding at minimum 20% IDC leverage ratio
For more information or to apply, contact the IDC directly:
Most applications are delayed or declined due to incomplete submissions. Preparing the items below upfront will significantly improve your chances.
Core documents (required for almost all funds)
Project‑specific documents (depending on the fund)
Additional requirements
Timelines vary by fund and depend heavily on the quality and completeness of your application.
Email Address:
siyabongam@idc.co.za
Contact Number:
0860 693 888
Use the following tools to help you apply:
