| SME Unified Lending Opportunity for National Growth Program
Program Description
In support of the National SME Development Plan, the government financial institutions (GFIs) collaborated to design a uniform lending program, tailored fit to meet the funding needs of SMEs. Under the unified lending program, the participating GFIs shall apply simplified and standardized lending procedures and guidelines, e.g., loan purpose, fee structures, interest rates, application forms, financial ratios, and other lending parameters, for evaluating the loan applications of SMEs.
To adopt to the financing needs of SMEs, two types of loans are available under the program: short term loans payable in one year, and long term loans that are payable up to five years.
The unified lending scheme is in addition to the existing financial services of the participating GFIs.
Objectives
- To simplify and standardize the lending procedures of GFIs, thereby enhancing the SMEs' access to needed funds.
- To shorten the list of documentary requirements to further facilitate the lending process.
- To create a wider, borderless financing system that will afford the SMEs greater access to short- and long-term funds
- To lower the effective cost of borrowing by SMEs and liberalize the requirements.
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