Bangkok: SMEs are bustling after the government, led by the SME Bank, injected 5,000 million to guarantee loans for 'vulnerable SMEs and small businesses', increasing opportunities, accessing capital, and enhancing business liquidity.
According to Thai News Agency, Ms. Sasikarn Wattanachan, deputy government spokeswoman, revealed that the Small Industry Credit Guarantee Corporation (TCG) has allocated an additional guarantee amount under the PGS11 'TCG SMEs Sustainable' loan guarantee project of another 5 billion baht under the TCG measures, along with 2 new loan guarantee products to help vulnerable groups, small SMEs, and exporters who lack guarantors and collateral.
For guarantee products, there are 1. Guarantee products under the SME Power Trade and Biz loan guarantee project with a guarantee limit of 3 billion baht and a guarantee of 500,000 - 10,000,000 baht per case, which is suitable for groups affected by the trade war and related supply chains. 2. Guarantee products under the SME Micro Biz loan guarantee project with a guarantee limit of 2 billion baht and a guarantee of 10,000 - 500,000 baht per case, which is suitable for small groups (Micro SMEs), online traders, freelancers, etc. who need working capital and lack collateral, which are 'vulnerable groups' who need special assistance.
Ms. Sasikarn continued that the highlight of the 2 projects is the low fee of 1.5% per year, free! Guarantee fee for the first 3 years, with a maximum guarantee of 7 years. This is a special measure that focuses on loan guarantees to help encourage financial institutions to grant loans to those who need additional liquidity but lack collateral by paying claims (paying insurance compensation) at a high rate.
The SME Power Trade and Biz and SME Micro Biz loan guarantee projects under the 5 billion baht guarantee line are expected to generate 5.6 billion baht in loans in the system, help SMEs access loans for more than 21,000 people, maintain 46,150 jobs, and create economic benefits of 20.65 billion baht. The advantages of this new project will play a significant role in causing banks to grant more loans, which will help stimulate the economy and increase liquidity.
For SMEs interested in joining the said loan guarantee project, you can come to check your financial health and make an appointment for consultation at LINE OA: @tcgfirst for free! No charge or contact the 11 SME Bank branch offices. For more information, please contact the SME Bank Call Center at 02-890-9999.
'The government is committed to solving economic problems in a tangible way, especially helping SMEs and vulnerable groups to access sources of funds and have opportunities to expand their businesses comprehensively because the grassroots economy is an important foundation that will create strength for the Thai economy to grow sustainably,' Ms. Sasikarn said.