Bangkok: The SME Bank has announced a significant initiative to aid small and medium enterprises (SMEs) in Thailand, especially focusing on vulnerable groups. In the first half of 2025, the bank has facilitated loans for over 20,000 small SMEs, with measures amounting to 5,000 million baht aimed at boosting the economy in the latter half of the year.
According to Thai News Agency, the SME Bank reported a total loan guarantee of 19,481 million baht for the first half of 2025, assisting 21,348 small SMEs in securing loans. This initiative has generated economic benefits exceeding 80,000 million baht. The bank has introduced special measures with a 5,000 million baht budget to support exporters affected by international trade policies and vulnerable groups, enhancing loan access through the ‘SME Bank Financial Advisory Center’.
Mr. Sittikorn Direksunthon, Director and General Manager of the Small Industry Credit Guarantee Corporation (TCG), shared that TCG’s loan guarantee performance from January to June 2025 reached 19,481 million baht. This includes 51% from TCG-operated projects and 49% from government-supported projects. The guarantees facilitated 26,359 million baht in loans, safeguarding 188,572 jobs and creating over 80,455 million baht in economic benefits.
The top sectors benefiting from these guarantees were services (31.4%), food and beverage (10.7%), and agriculture (8%). These industries combined accounted for 50% of the guarantees, signifying their pivotal role in driving the nation’s economy. The government aims to further stimulate growth in tourism, agriculture, processed food, medical, and wellness sectors.
The PGS 11 ‘GSB SMEs Sustainable’ project has seen considerable success, with a total guarantee amount of 38,009 million baht since its inception in July 2024. The project has enabled 48,380 SMEs to secure loans, with 74% being first-time users of GSB services. Most beneficiaries are Micro SMEs, confirming the project’s effectiveness in supporting those lacking collateral.
In the third quarter, the ‘SBG Ready to Guarantee’ measure introduced two new projects with a 5 billion baht budget: the SME Power Trade and Biz loan guarantee project (3 billion baht) and the SME Micro Biz loan guarantee project (2 billion baht). These projects target SMEs affected by trade disruptions and economic challenges, providing free guarantee fees for the first three years and low subsequent payments.
The initiatives aim to encourage financial institutions to extend credit to liquidity-needing SMEs by offering compensation insurance of up to 42% for the SME Micro Biz project, thus mitigating credit risk and fostering confidence in lending to small businesses.
Additionally, the SME Bank has been successful in debt restructuring, with 20,904 debts restructured since 2022, totaling 13,414 million baht. In the first half of 2025, over 2,400 debts were restructured, aiding vulnerable groups significantly. Debt restructuring measures include extended payment terms and interest waivers, enabling debtors to stabilize and thrive.
The SME Bank is also enhancing financial literacy through the ‘SME Financial Advisory Center’, offering free financial consultations and training. Since August 2020, over 50,000 SMEs have benefited from these services, achieving a 14.66% success rate in loan access. The bank facilitates these services through multiple channels, ensuring wide-reaching support for SME entrepreneurs nationwide.