SMEs receive MOP32.6 million in gov’t support in 1H

[Photo: Renato Marques]

The Economic and Technological Development Bureau (DSEDT) approved 101 applications under its Small and Medium-sized Enterprise (SME) Aid Scheme in the first half (1H) of the year, providing a total of MOP32.59 million in assistance, according to data released by the bureau.

The support program provides interest-free loans to eligible businesses to help fund investment and operational needs, including equipment purchases, renovation and expansion projects, commercial concessions, franchise agreements, technology-use rights, intellectual property acquisitions, promotional activities, and measures aimed at improving competitiveness.

Businesses may also use the funding to support working capital needs or address financial pressures arising from unexpected events or force majeure situations.

Under the scheme, companies can receive a maximum subsidy amount of MOP600,000, which must be repaid within a maximum period of 10 years. Qualified businesses that have fully repaid previous support may also apply for a second round of assistance.

DSEDT data showed that demand for the SME Aid Scheme remained steady in recent years. In 2025, the government approved 257 applications and distributed MOP90.5 million in funding, while 231 applications were approved in 2024, involving MOP81.19 million in support.

Meanwhile, the bureau’s SME Credit Guarantee Scheme recorded more limited activity during the first half of the year, with only one application approved. The approved guarantee amount exceeded MOP4 million.

The credit guarantee program is designed to help SMEs obtain bank financing by providing guarantees covering 70% of approved bank loans. Each eligible company can receive a maximum guarantee of MOP4.9 million, excluding interest and related charges.

According to DSEDT, the scheme aims to improve SMEs’ access to financing by reducing difficulties in securing bank credit. Loans obtained through the program cannot be used to repay existing debts, while no additional special requirements are imposed for credit approval.

The maximum repayment period under the credit guarantee scheme is five years from the date the loan is drawn.

In comparison, approved amounts under the program totaled MOP3.5 million in 2025 and MOP9.1 million in 2024.

The continued rollout of SME assistance measures comes as local businesses face ongoing challenges, including rising operating costs, changing consumer patterns, and the need to improve competitiveness through investment and business upgrades.

Recently, lawmaker José Maria Pereira Coutinho has urged the government to adopt more decisive and coordinated measures to address the city’s economic strains, citing widespread shop closures, weak community investment returns, and growing consumer spending outflow to Zhuhai.

In a written inquiry submitted to the Legislative Assembly (AL), Coutinho said the economy is facing structural imbalances, with many neighborhood businesses struggling to survive despite government efforts to stimulate consumption.

He cited survey data showing that six out of 10 businesses reported lower sales in 2025, with average declines ranging from 10% to 30%, while more than 40% of business owners expressed pessimism about their prospects for 2026.