Benefits of SMEs development fund
VGP - The Government on May 10 issued Decree No. 39/2019/ND-CP on the organization and operation of the small and medium-sized enterprises development fund (“Decree 39”).
Question: Which support do SMEs receive from the SMEs development fund (“Fund”)?
Answer: Under Decree 39, SMEs are entitled to loans to implement projects, business and production plans.
In addition, SMEs are allowed to borrow money to invest in building factories, buying machinery and equipment for any project, production and business plan.
SMEs meeting loan conditions will also be considered by the Fund for a maximum loan of VND 1 billion for each project, production and business plan but not in excess of 50% of the investment capital for construction of factories, purchase of machinery and equipment.
Furthermore, SMEs will also receive other supports from the Fund such as training, consulting, supporting in trade and investment promotion.
To effectively support SMEs, the Fund will also annually carry out projects and schemes on investment, development and establishment of incubation and technical facilities and common working space.
Decree 39 shall come into force from July 1 2019./.
