B260m doled out since October to aid SMEs

The government has extended over 260 million baht in soft loans and financial and marketing support to more than 7,000 struggling small and medium-sized enterprises (SMEs) since last October.

Somchai Hanhiran, permanent secretary at the Industry Ministry and also head of the SME Support-Rescue Centre, said the centre has lent support and money to 7,283 companies since last October, when the centre was set up.

“Most of the companies — 64% — came to us asking for financial help. Another 14% asked for help on marketing campaigns and channels, while 8% asked for help in production-related aspects,” he said.

Mr Somchai said the centre has lent 261 million baht to those companies facing liquidity problems. That sum accounted for 13% of the 2-billion-baht fund set aside to support Thai SMEs.

The government also set up another SME support fund worth 1 billion baht, along with a committee to screen applicants, who are judged on a case-by-case basis.

He said the Industry Ministry has increased the number of channels available for SMEs to 3,800 locations nationwide by working with 13 SME-related agencies.

The government is also considering a new policy to lend support to “micro-SMEs” — businesses that are smaller than SMEs — to help strengthen the Thai economy.

Deputy Prime Minister Somkid Jatusripitak has ordered SMEs-related agencies to meet and brainstorm with other senior officials from the Office of Small and Medium Enterprises Promotion to hammer out new policies to that end.

Micro-SMEs were initially defined as small or family businesses with fewer than five employees and not registered as companies.

Tentatively, the government would start lending support to micro-SMEs in eight provinces, mostly major cities with busier economic activity, before expanding aid to other ones.

The eight provinces are Chiang Mai, Phitsanulok, Nakhon Pathom, Chon Buri, Ubon Ratchathani, Udon Thani, Krabi and Songkhla.