Skip to Primary Content
Main Banner

The Hong Kong Mortgage Corporation Limited

SME Financing Guarantee Scheme

Helps You Grasp Business Opportunities and Expand Your Business

Important Note to Loan Applicants under the SME Financing Guarantee Scheme (“Scheme”):
 
HKMC Insurance Limited ("HKMCI") wishes to alert the members of the public to beware of anyone offering to make loan applications or obtain approval for a loan under the Scheme for a fee.  
 
Loan applicants are reminded that:
 
1. they need not engage or appoint any third party (except the participating lenders under the Scheme (“Lenders”)) to apply for a loan under the Scheme. Any loan application prepared by or submitted through a third party may incur unnecessary financial costs or loss to the applicant and expose the applicant’s personal data to the risk of disclosure to or misuse by an unscrupulous third party;
 
2. they should apply for a loan under the Scheme directly through the Lenders which will provide assistance without levying any application fee or handling fee; and
 
3. the Lenders and the HKMCI will not tolerate any illegal conduct (e.g. making a false declaration or using a false instrument) and will report suspected illegal conduct to the relevant law enforcement agencies.  

 

 

The Scheme was launched on 1 January 2011 by The Hong Kong Mortgage Corporation Limited (“HKMC”). Since 1 May 2018, the Scheme business has been transferred to and carried on by the HKMCI, a wholly-owned subsidiary of the HKMC.

 

 

Objective and Guarantee Coverage

The Scheme aims at helping local small and medium-sized enterprises (“SMEs”) and non-listed enterprises (collectively, “Enterprises”) to obtain financing from the Lenders for meeting their business needs so as to enhance their productivity and competitiveness in the rapidly changing business environment. Under the Scheme, the HKMCI may provide guarantee coverage to the credit facilities of eligible Enterprises approved by the Lenders.

 

 

Award

Honoured with the Best SME’s Partner Award by The Hong Kong General Chamber of Small and Medium Business for thirteen consecutive years since 2012.

 

Partner Award by The Hong Kong General Chamber of Small and Medium Business 

 

 

Special Concessionary Measures

80% Guarantee Coverage under the Scheme (“80% Guarantee Product”)

To help tide the Enterprises over financing difficulties as a result of a possible credit crunch in midst of the uncertain global economic environment, the Financial Secretary announced in the 2012-13 Budget Speech a series of measures to support the Enterprises, including the introduction of the time-limited Special Concessionary Measures under the Scheme which provides 80% guarantee coverage to credit facilities of eligible Enterprises approved by the Lenders at concessionary guarantee fee rates.

 

The 80% Guarantee Product has provided strong support for the Enterprises in obtaining financing in the commercial lending market since its launch on 31 May 2012 and benefited an increasing number of enterprises. To further alleviate the financial burden of the Enterprises and assist them to obtain financing from the Lenders, the Government has implemented enhancements for qualifying guarantees under the 80% Guarantee Product from time to time since its launch.

 

The application period for the 80% Guarantee Product is until end-March 2026.

  

 

Please refer to the SME Financing Guarantee Scheme Factsheet for the features of the 80% Guarantee Product, the 2024 Principal Moratorium ("2024-PM") arrangement and Partial Principal Repayment ("PPR") options.

 

 

90% Guarantee Coverage under the Scheme (“90% Guarantee Product”)

With the approval of the funding by the Finance Committee of the Legislative Council on 6 December 2019, the 90% Guarantee Product under the Scheme has been introduced on 16 December 2019. The 90% Guarantee Product aims at providing additional support to small-sized enterprises and businesses with relatively less operating experience to obtain financing. With the rapid deterioration of the business environment following the outbreak and spread of the COVID-19, the Government has announced some enhancements and relief measures on the 90% Guarantee Product.

 

The application period for the 90% Guarantee Product is until end-March 2026.

 

  

Please refer to the SME Financing Guarantee Scheme Factsheet for the features of the 90% Guarantee Product, the 2024-PM arrangement and the PPR options. 

 

 

Special 100% Loan Guarantee under the Scheme (“Special 100% Loan Guarantee”)

The application period for the Special 100% Loan Guarantee has closed in end-March 2024.

 To ease the cash flow problems of Enterprises adversely affected by the outbreak of COVID-19, the Financial Secretary announced in the 2020-21 Budget Speech that a Special 100% Loan Guarantee would be introduced under the Scheme. The Special 100% Loan Guarantee aims at alleviating the financial burden of paying employee wages and rents by the Enterprises which are suffering from reduced income and to help minimise the Enterprises shutting down and layoffs. The loans under the Special 100% Loan Guarantee are fully guaranteed by the Government at a concessionary low-interest rate. 

    

 

Please refer to the SME Financing Guarantee Scheme Factsheet for the features of the 100% Guarantee Product, the

2024-PM arrangement and the PPR options. 

 

 

2024 Principal Moratorium and Partial Principal Repayment Arrangements

The Chief Executive announced in “The Chief Executive's 2024 Policy Address” on 16 October 2024 that, for both existing and new loans, borrowing enterprises under the Scheme are allowed to apply for principal moratorium for up to 12 months while the maximum loan guarantee periods of the 80% and 90% guarantee products are extended to ten years and eight years respectively. In addition, the PPR options are offered to new loans under the 80% and 90% guarantee products. These measures, aiming to alleviate the repayment pressure on enterprises and helping them address challenges encountered during economic restructuring, come into effect on 18 November 2024.

Click to expand for viewing details

Application Procedure

Loan applicants (including the existing Borrowers submitting top-up applications) should contact the Lenders to apply for the loan or credit facility. The Lenders will use their professional expertise, judgement and care in conducting customer due diligence, reviewing each application, and verifying the eligibility of each loan applicant before submitting the guarantee applications and relevant supporting documents to the HKMCI for review and approval.

 

A list of the Lenders is available here.

Enquiry

 For general enquiries about the Scheme, please contact:
1. the Lenders; or
2. the HKMCI

 

Scheme Hotline: 2536 0392

Scheme Enquiry: [email protected]

 

 

Remarks

The Scheme is operated by the HKMCI and is subject to the relevant terms and conditions. The copyright to the contents of this document is owned by the HKMCI.

 

 

Last Update Date: 18 November 2024

General Information

1) List of Participating Lenders
Download PDFDownload PDF
2) Product Factsheet
Download PDFDownload PDF
3) Success Stories
Read MoreRead More
4) Application Procedures
Download PDFDownload PDF
5) List of Application Documents
Download PDFDownload PDF
6) SME Financing Guarantee Fee Calculator
Read MoreRead More
7) SME Financing Guarantee Scheme (80%, 90% Guarantee Products and Special 100% Loan Guarantee) Statistics
Read MoreRead More
8) Application Procedures for an Authorized Institution to become a Participating Lender
Download PDFDownload PDF