OSMEP Launches $60 Million Relief Package to Aid Thai SMEs

 

 

Government initiative targets 15,000 small businesses affected by floods and border tensions, with potential $600m economic boost.

 

Thailand's Office of Small and Medium Enterprises Promotion (OSMEP) has unveiled a comprehensive emergency relief package worth more than 2 billion baht ($60 million) designed to support small and medium-sized enterprises across the country.

 

The initiative, announced as a 2026 New Year's measure, is expected to assist 15,000 SME entrepreneurs nationwide and generate economic stimulus exceeding 20 billion baht ($600 million) throughout the year.

 

Speaking at Government House on 5 January 2026, Panita Shinawatra, acting director-general of OSMEP, outlined three primary urgent measures totalling 2.15 billion baht ($64 million).

 

The package addresses the needs of SMEs impacted by recent crises, including devastating floods in southern Thailand and ongoing tensions along the Thai-Cambodian border, whilst simultaneously working to enhance SME capabilities nationwide.

 

 

 

Three-Pronged Approach

The recovery measure for disaster and border-affected businesses centres on the "SME Pang, Tang Dai Khuen" (SME Success, Money Back) project, delivered through the Business Development Service system.

 

OSMEP will subsidise 50 per cent of business development service fees, with the subsidy cap raised to 500,000 baht ($15,000) per entrepreneur – a significant increase from the standard 200,000 baht ($6,000) limit.

 

Additionally, in partnership with SME D Bank, low-interest loans of up to 1 million baht ($30,000) per person are available for business restoration and repairs.

 

The capital strengthening measure focuses on business transformation and technological advancement, offering a total loan pool of 1.2 billion baht ($36 million).

 

Entrepreneurs can access transformation fund loans of up to 10 million baht ($300,000) for technology and digital upgrades, while enhancement fund loans ranging from 10 to 15 million baht ($300,000 to $450,000) target high-potential sectors including digital services, health and wellness, smart robotics, and creative industries.

 

Tourism businesses can secure loans of 2 million baht ($60,000) to bolster liquidity.

 

All loans carry an interest rate of just 1 per cent per annum, with a one-year principal grace period and maximum repayment terms of five years.

 

 

The marketing measure, branded "Thai SMEs New Opportunity Gateways", allocates 600 million baht ($18 million) to expand Thai SMEs into international markets through business matching, roadshows, and international trade fairs.

 

OSMEP will cover up to 80 per cent of expenses to help establish Thai brands on the global stage.

 

 

Critical Economic Contribution

Small and medium-sized enterprises form the backbone of Thailand's economy, with 3.26 million SMEs representing 99.5 per cent of all businesses in the country.

 

These enterprises employ more than 13.4 million people – nearly 70 per cent of total employment. During the first three quarters of 2025, SMEs generated 4.45 trillion baht ($133 billion), accounting for 34.8 per cent of Thailand's GDP.

 

An additional 1.5 billion baht ($45 million) plan specifically targeting the nine southern provinces affected by floods will be reviewed at an upcoming SME Promotion Board meeting on 14 January 2026, chaired by Deputy Prime Minister Piphat Ratchakitprakarn.

 

This supplementary funding will be distributed through more than 20 government agencies to ensure rapid and comprehensive relief.