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The Secretary for Commerce and Economic Development, Mrs Rita Lau, welcomed the announcement by HSBC today (December 7) on the creation of a new US$5 billion global loan fund for small and medium-sized businesses (SMEs), of which HK$4 billion has been committed to supporting SMEs in Hong Kong.
"The Government has taken a number of measures to encourage banks and financial institutions to lend to SMEs. These included providing greater support and flexibility to the existing SME Loan Guarantee Scheme (SGS) which provides 50% government guarantee to a maximum loan amount of $12 million; and the introduction of a Special SME Loan Guarantee Scheme (SpGS) to provide 70% government guarantee to a maximum loan amount of $1 million with revolving facilities.
"We appreciate very much the positive step taken by HSBC to dedicate new money in support of the two loan schemes, as well as through other options to lend to the SMEs," Mrs Lau said.
"I believe the new initiative will further complement the schemes and facilitate SMEs in obtaining the much needed liquidity. It also demonstrates the bank's commitment to work with the Government in support of the SMEs.
"I and my staff will continue to work closely with HSBC and other financial institutions to ensure the best possible assistance can be provided to our SMEs," Mrs Lau added.
Ends/Sunday, December 7, 2008
Issued at HKT 17:24
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