COVID-19 – Government Assistance to Economic Damage for Small and Medium Enterprises

The Hong Kong Government has always been well aware that the dynamic strength of the Hong Kong economy has been based upon the mass combined effort of small and medium enterprises particularly in the export trade. These enterprises has been seriously wounded by the COVID-19 pandemic which has been to some extent exacerbated by the nearly 9 months of pro-Hong Kong independence demonstrations against the People Republic of China.

The damage has been real but the Hong Kong Government has not been blinded to this and has introduced an export promotion activities assistance programme by creating a maximum fund of HK$800,000 for each enterprise with the primary purpose of outreach advertising so that participating SMEs can use the fund especially to promote their activities in :-

•  trade fairs/exhibitions outside Hong Kong;
•  in business missions outside Hong Kong;
•  in local trade fairs in Hong Kong targetting markets outside Hong Kong;
•  placing advertisements on trade publications mainly targetting at markets outside Hong Kong and export promotion activities placing advertisements, keyword services, listing product information, setting up or enhancing online shopping to be conducted through electronic platform/media and mainly targetting markets outside Hong Kong;
•  the setting up or enhancement of a corporate vehicle or mobile application of the applicant enterprise mainly targetting markets outside Hong Kong.

The target beneficiaries are Hong Kong SMEs registered in Hong Kong but not listed on the Hong Kong Stock Exchange nor subvented by government and having substantive business operations in Hong Kong related to the particular project of overseas targetting at the time of any such application. There are assessment criteria.

We need to wait to see what will be the response of SMEs to this very generous package of advertising and outreach related assistance for SMEs in overseas markets.