On 4 September 2019, the Financial Secretary announced a new round of supportive measures to further assist SMEs in responding to economic downturn and capital need. The highlights are as follows:
- the Mortgage Corporation Insurance Limited will launch a 90% guarantee product under the SME Financing Guarantee Scheme to provide loans up to $6 million, with a repayment period of up to five years, and exempt applicants from having at least one-year operational experience;
- the Mortgage Corporation Insurance Limited will optimize the current 80% guarantee products. SME borrowers may apply to their lenders under the guarantee scheme for a principal moratorium of up to six months which is renewable, subject to a maximum of 12 months in total. During the period, they may only make interest payments. This measure will also apply to the SME Loan Guarantee Scheme under the Trade and Industry Department (TID);
- the Government will simplify the application procedures for various funding schemes and reduce application restrictions; and
- starting from 1 October, services provided by TID, Hong Kong Trade Development Council, Hong Kong Productivity Council and the Hong Kong Science and Technology Parks Corporation will be consolidated to provide integrated services.
For details, please see (Chinese Version Only):
Opening Remarks by Secretary for Commerce and Economic Development at Media Session