Background

In the midst of deepening global financial crisis, small and medium-sized enterprises (SMEs) and business owners are facing capital liquidity problems because of tightening market conditions. Domestic financial institutions including banks, wary of escalating credit risks, have been reluctant to grant loans to SMEs and business owners with relatively low credits.

Decreasing export and faltering domestic consumption have further deteriorated the business conditions especially for companies that rely on exports and produce price-sensitive goods or services. As such, SME bankruptcies have been on the rise while SME loans have significantly dropped. Therefore, a need for SMEs' easier liquidity access have been urgently called for.

* Please refer to the attached PDF for details.