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Minister Lim Hng Kiang's Written Reply to Parliament Question on Government Help Schemes for Micro-enterprises

Minister Lim Hng Kiang's Written Reply to Parliament Question on Government Help Schemes for Micro-enterprises

Question
 
Mr Gerald Giam Yean Song: To ask the Minister for Trade and Industry how many SMEs with fewer than 10 employees have been helped by Government schemes in 2012, 2013 and 2014 and what is the (i) total Government grant (ii) total Government-supported loan amount and (iii) average quantum that is approved for each such SME in each year.
 
Written Answer (attributed to Mr Lim Hng, Minister for Trade and Industry)
 
1. SMEs with less than $1 million in annual revenue are known as micro-enterprises. These SMEs generally employ fewer than 10 employees. The Government has been providing support and assistance to these SMEs, to help them improve productivity and enhance their competitiveness.  This is done through three main schemes. The Innovation and Capability Voucher (“ICV”) supports SMEs for consultancy and implementation of solutions in the areas of innovation, productivity, human resources and financial management. The Micro-Loan Programme (“MLP”) provides loan financing of up to $100,000 for micro-enterprises. The Productivity and Innovation Credit (“PIC”) is a tax incentive for investments in innovation and productivity improvements. About 20,000 micro-enterprises received assistance through these three schemes in 2012.  In 2013 and 2014, the number increased to around 24,000 and 33,000 respectively.
 
2. Under the ICV and PIC schemes, micro-enterprises received $20.1 million in 2012, or $983 per company on average.  The quantum increased to $107.9 million (average of $4,760 per company) and $281.6 million (average of $8,968 per company) in 2013 and 2014 respectively.
 
3. Likewise, there is an increase in the total loan amount supported through the MLP, rising from $119.6 million in 2012 to $124.1 million and $197.5 million in 2013 and 2014 respectively. The corresponding average loan quantum per SME was $62,800, $64,300 and $59,800 in 2012, 2013 and 2014 respectively.
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