Exim Bank launches credit products to support SMEs
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EXPORT-IMPORT Bank of Thailand has witnessed well-placed incubator programmes that have resulted in an emerging pool of entrepreneurs who are ready to export provided that sufficient funds are made available, said the bank's acting president, Suthanai Pra
To that end, Exim Bank is prepared to extend credit facilities to novice small and medium-sized enterprises that are interested in starting up an export business and have undergone government exporter-training programmes or are experienced SMEs aspiring to become exporters.
The bank has launched a new “SME Start-up Credit” service to support SME exporters that have obtained purchase orders but lack working capital, with a credit limit of Bt2 million per exporter.
Moreover, Exim Bank has introduced the “SMEs R&D and Innovation Credit” product with a maximum credit line of Bt5 million per business operator. This facility is designed to promote research and development for improvement of the borrower’s products and services and to help them innovate for further expansion while adding more value to Thai exports.
Of the 2.7 million SMEs currently in Thailand, about 25,000 are exporters. With new trade and investment opportunities opening up with the advent of the Asean Economic Community by the end of this year, augmented by rapidly burgeoning cross-border trade following an increase in purchasing power of Thailand’s neighbouring countries, new SME exporters are emerging.
Global mega-trends like ageing societies, online commerce, environmental awareness, and healthy lifestyles are also seen as new gateways for SMEs to export their products to meet the demand of different consumer markets.
Furthermore, the new generation of SMEs are beginning to appreciate the importance of R&D that will lead to innovative product development and help increase their competitive advantage as well as differentiate their products amid the intense competition in the world market.
“The close cooperation between Exim Thailand and other government agencies throughout the exporter-incubation process, from upstream to downstream, has resulted in an emergence of new exporters that are ready to obtain purchase orders, build up production capability, and eventually export their products,” Suthanai said.
“In closing exporters’ financial gaps, our goal is to help Thai SME exporters become stronger while facilitating their research and development efforts to adding more value to world trade and business of Thailand.”
