HKMA and banking sector introduce new SME support measures on 29 Apr 2026, increasing dedicated funds to over HK$450 billion and enhancing credit relief and fintech integration.
This article was generated using SAMS, an AI technology by Timothy Loh LLP.
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On Wed, 29 Apr 2026, the Hong Kong Monetary Authority ("HKMA") and the banking sector introduced a new round of support measures via the Taskforce on SME Lending to assist SMEs in navigating market uncertainties driven by Middle East tensions and oil price fluctuations. These measures aim to facilitate bank financing access, strengthen business resilience, and accelerate corporate transformation.
Enhanced Dedicated Funding Allocation
The 18 participating banks have increased the dedicated funds set aside for SMEs within their loan portfolios from HK$370 billion in October 2024 to over HK$450 billion currently.
Credit Relief for Affected Sectors
Banks will offer accommodative credit relief to SMEs in transport, logistics, manufacturing, and import/export sectors affected by rising operating costs, taking into account individual customer circumstances and needs. Relief measures include flexible repayment arrangements, loan tenor extensions, and trade facility options, applicable to personal customers with taxi, public light bus, and commercial vehicle loans, subject to prudent risk management.
Expedited SFGS Approval Process
Participating banks and HKMC Insurance Limited undertake to complete SFGS application approvals within 30 business days under normal circumstances. For complex cases where submitted information is insufficient or involves higher risks, supplementary information will be requested, and the 30-day count commences upon receipt of all necessary data, ensuring transparency and enabling flexible financial planning.
Flexible Repayment for Business Transformation
To support capital-intensive transformation, banks will introduce customized loan arrangements with flexible repayment plans, such as step-up schedules or early partial principal repayments, tailored to specific business needs for digital, intelligent, and green upgrades.
Fintech and Data Integration
Banks are leveraging fintech to optimize loan approvals, with major trade finance banks participating in the HKMA’s Cargox Pilot Programme. By connecting cargo and trade data through the Commercial Data Interchange infrastructure, banks can conduct more effective credit risk assessments, expediting trade finance access for importers and exporters.
Past Support Measures and Statistics
Since 2024, three rounds of support measures have benefited over 89,000 cases with an aggregate credit limit exceeding HK$209 billion. Measures were introduced in March and October 2024, with additional sector-specific support added in April 2025.
The Taskforce on SME Lending
Established in August 2024 by the HKMA and The Hong Kong Association of Banks ("HKAB"), the Taskforce includes representatives from 18 banks: Bank of China (Hong Kong), Bank of Communications (Hong Kong), Bank of East Asia, China CITIC International, China Construction Bank (Asia), Citibank, Dah Sing Bank, DBS Bank (Hong Kong), Fubon Bank (Hong Kong), Fusion Bank, Hang Seng Bank, The Hongkong and Shanghai Banking Corporation, Industrial and Commercial Bank of China (Asia), OCBC Bank (Hong Kong), Nanyang Commercial Bank, Ping An Digital Bank, Shanghai Commercial Bank, and Standard Chartered Bank (Hong Kong).
Future Commitments
The HKMA and banking sector will continue to monitor market developments and maintain regular communication through the Taskforce to understand SME needs, thereby promoting Hong Kong’s economic growth and supporting SME development and transformation.
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