The Hong Kong Monetary Authority published new measures under the SME Financing Guarantee Scheme, reflecting the Chief Executive’s 2025 Policy Address, including a two-year extension of applications for the 80% Guarantee Product to the end of March 2028. The package also increases the scheme’s total loan guarantee commitment by HKD 20 billion to HKD 310 billion and extends the principal moratorium arrangement by one year. The application window for the principal moratorium, previously due to expire on 17 November 2025, is extended to 17 November 2026. Eligible borrowing enterprises can apply for up to 12 months of principal moratorium on or before 17 November 2025 and/or up to 12 months between 18 November 2025 and 17 November 2026, allowing up to 24 months in total. For loans newly drawn down on or after 18 November 2025, eligible borrowers may apply on or before 17 November 2026 for up to 12 months of principal moratorium. HKMC Insurance Limited will follow up with participating lenders to implement the arrangements, and borrowing enterprises can contact participating lenders for specific arrangements starting from 1 November 2025.
Hong Kong Monetary Authority 2025-09-17
Hong Kong Monetary Authority extends SME Financing Guarantee Scheme 80% Guarantee Product to March 2028 and lifts commitment to HKD 310 billion
The Hong Kong Monetary Authority announced enhancements to the SME Financing Guarantee Scheme, extending the 80% Guarantee Product applications by two years to March 2028 and increasing the total loan guarantee commitment by HKD 20 billion to HKD 310 billion. The principal moratorium arrangement is extended by one year, allowing eligible enterprises up to 24 months of relief. HKMC Insurance Limited will coordinate with lenders to implement these changes.