bangkok: SME Bank has announced the implementation of three urgent measures aimed at providing comprehensive relief to small and medium-sized enterprises (SMEs) affected by recent floods, addressing the needs of customers, debtors, and other impacted businesses.
According to Thai News Agency, the initiative is designed to alleviate financial burdens, enhance liquidity, and assist SMEs in reviving their businesses in the aftermath of the floods. Mr. Sittikorn Direksunthon, Director and General Manager of the Small Industry Credit Guarantee Corporation (TCG), highlighted the impact of widespread flooding on numerous businesses and the ongoing efforts to provide necessary assistance. The measures comprise a suspension of fee and installment payments and the introduction of a low-interest loan guarantee project, ‘SMEs Rehabilitation No One Left Behind’.
The first measure offers a six-month suspension of payment for fees and guarantee management fees for SME Bank customers with due payments falling between Augus
t 23 and October 31, 2024. The second measure allows debtors of SME Bank, who are compliant with their debt restructuring plan and not in default, to suspend installment payments for six months, with applications open until October 31, 2024.
The third measure aims to enhance liquidity through the SME loan guarantee project, offering low-interest loans with a credit limit of 1 billion baht under the PGS 11 loan guarantee project ‘SCG SMEs Sustainable’. The scheme provides guarantees ranging from 10,000 to 2 million baht per individual for up to 10 years, with an initial three-year fee waiver. The initiative intends to reduce financial burdens for flood-affected SMEs and ease access to loans, with applications accepted until April 30, 2025.
In a collaborative effort with financial institutions, the SME Bank supports the ‘GSB Boost Up Soft Loan’ project, which has been approved by the Cabinet to allocate a budget of 50 billion baht to aid flood-affected SMEs and freelancers. The Government Savings Bank offers
low-interest funding to provide loans at rates not exceeding 3.5% per year for two years to increase liquidity for SMEs.
Mr. Sitthikorn emphasized the importance of continuous monitoring of flood-affected regions and the active role of SME Bank District Offices nationwide in surveying and publicizing these relief measures. Furthermore, the ‘Financial Advisory Center’ teams have been dispatched to assist SME entrepreneurs in navigating the challenges posed by the floods.
SMEs, customers, and debtors of TCG in areas identified by the Department of Disaster Prevention and Mitigation can seek further information and assistance at local district offices, through LINE OA TCG First: @tcgfirst, or by contacting the TCG Call Center at 02-890-9999.