SME Financing Guarantee Scheme

It aims to support local small and medium-sized enterprises (SMEs) and non-listed enterprises in obtaining financing to enhance their productivity and competitiveness. Key details of the scheme are as follows:

Objectives:

• Facilitate SMEs and non-listed enterprises to secure loans or credit facilities from participating lenders.
• Help enterprises meet business needs and overcome financing difficulties, especially in challenging economic environments.
• Enhance business growth and competitiveness in a rapidly changing market.

Target Beneficiaries:

• Local SMEs and non-listed enterprises in Hong Kong.
• Small-sized enterprises and businesses with relatively less operating experience (specifically supported under the 90% Guarantee Product).

Key Features:

• Guarantee coverage options include 80% and 90% guarantee products, with the 80% product available until end-March 2026 and the 90% product also until end-March 2026.
• A Special 100% Loan Guarantee was offered to ease cash flow problems during COVID-19 but the application period ended in March 2024.
• The scheme offers concessionary guarantee fee rates.
• Recent enhancements include a 2024 Principal Moratorium allowing up to 12 months' principal repayment deferral and extended maximum loan guarantee periods (10 years for 80% product, 8 years for 90% product).
• Partial Principal Repayment options are available for new loans under the 80% and 90% guarantee products.

Application Process:

• Enterprises apply directly through participating lenders; no third-party intermediaries are needed or recommended.
• Lenders conduct due diligence, review applications, verify eligibility, and submit guarantee applications to HKMCI for approval.
• A list of participating lenders is publicly available.

Additional Notes:

• The scheme has been recognized with the Best SME’s Partner Award by The Hong Kong General Chamber of Small and Medium Business for thirteen consecutive years since 2012.
• The scheme is designed to be accessible and to reduce financial burdens on SMEs, supporting their sustainability and growth.

For more details, applicants can contact participating lenders or HKMCI directly via the scheme hotline or email. The scheme is subject to terms and conditions set by HKMCI.