SMEWG Resources

People's Republic of China

8th SME Technology Conference and Fair (China)

The 8th APEC SMETC was held on 19 - 22 June 2014 in Zhejiang Province, China, which focused on electronics, high-end equipment, and producer services under the theme "transformation and upgrading boosted by technical innovation". It worked to strengthen the communication between economy and trade, information and technology, and to help APEC SMEs explore international markets and improve their own competition

Hong Kong, China

Hong Kong, China’s Support for SMEs in the Internet and Digital Economy

Hong Kong, China's (HKC) sharing focused on their support for SMEs in the internet and digital economy.  Some of the measures included incubation programmes to nurture start-ups in the ICT field and mobile app business; opening up government and public data for entrepreneurship and making land available for the development of data centres; providing support and setting up dedicated institutions for assisting SMEs to upgrade, innovate and adopt technological solutions; and training and educating SMEs to increase their knowledge and know-how of the internet and digital economy.

 

Driving Innovation, Technology and Re-industrialisation in Hong Kong, China

Hong Kong, China's (HKC) sharing focused on their continuous efforts in driving the development of innovation and technology (I&T), with a focus on re-industrialisation.  By re-industrialisation, HKC aimed at applying I&T to manufacturing for developing high-end industries suitable for HKC and carrying out high value-added production processes.  To achieve this, a number of measures have been taken, including providing more space for industrialisation, assisting existing industries to move towards high value-added production, strengthening research and development, and providing financial assistance for upgrading and innovation.

 

Enhancing SME’s Competitiveness for Greater Participation in Global Value Chains

Hong Kong, China's (HKC) presentation focused on their multi-folded support measures to enhance the competitiveness of its SMEs for their greater participation in the Global Value Chains.  These measures included the promotion activities by the Hong Kong Trade and Development Council to enable SMEs to explore and connect with the global market; funding support to assist SMEs to upgrade their business and innovate; promoting research and development and their commercialisation; and providing infrastructure and other institutional support to facilitate the movement of goods across borders.

 

Energizing Innovation and Technology in Hong Kong, China

Recent developments in support to innovation and technology (I&T). Hong Kong, China set up a dedicated bureau and put significant financial resources to carry out a number of initiatives, including promotion of “re-industrialization”, research and development; supporting I&T start-ups and SMEs; nurturing talents, etc.

Energizing Innovation and Technology in Hong Kong, China

Recent developments in support to innovation and technology (I&T). Hong Kong, China set up a dedicated bureau and put significant financial resources to carry out a number of initiatives, including promotion of “re-industrialization”, research and development; supporting I&T start-ups and SMEs; nurturing talents, etc.

Assisting SMEs' Access to Global Markets: Hong Kong, China's Approach

Hong Kong, China shared their experience in assisting SMEs’ access to the global markets. Through the work of the Hong Kong Trade Development Council, a trade promotion body, SMEs in Hong Kong, China were able to explore a world of business opportunities. In addition, different government finance support measures, export credit insurance and general support such as SME centres enhanced SMEs’ capabilities in engaging in global business.

Assisting SMEs' Access to Global Markets: Hong Kong, China's Approach

Hong Kong, China shared their experience in assisting SMEs’ access to the global markets. Through the work of the Hong Kong Trade Development Council, a trade promotion body, SMEs in Hong Kong, China were able to explore a world of business opportunities. In addition, different government finance support measures, export credit insurance and general support such as SME centres enhanced SMEs’ capabilities in engaging in global business.

Hong Kong, China's Experience in Maintaining a Favourable Business Environment and Promoting Internationalization

Hong Kong, China shared its experience in maintaining a favourable business environment and promoting internationalization for SMEs. It upheld the “Market Leads, Government Facilitates” principle and set up the SME marketing fund and a consultation centre.

Hong Kong, China Assisting SMEs’ Access to Global Markets

Recognizing that internationalization and export trade were important to the sustainable growth of the SMEs, Hong Kong, China (HKC) implemented a number of measures to assist SMEs’ access to global markets, including: Hong Kong Trade Development Council’s work to connect SMEs with overseas buyers through fairs and exhibitions, lead SMEs to explore global markets and provide market intelligence; Hong Kong Export Credit Insurance Corporation’s Small Business Policy insurance plan; and Trade and Industry Department’s SME Export Marketing Fund.

Support to SMEs in the Internet Economy

Hong Kong, China shared its approach to support SMEs in the Internet economy. Through cultivating a vibrant ecosystem to nurture start‐ups, upgrading support measures for SMEs, and strengthening institutions to provide an enabling environment, the Government of Hong Kong, China is committed to facilitating the development of the digital economy and supporting SMEs in the Internet Age

Hong Kong, China’s Experience in Easing Access of SMEs to Financing

Hong Kong, China presented briefly on its 3 schemes of easing access of SMEs’ financing, including  SME Loan Guarantee Scheme (SGS); Special Loan Guarantee Scheme (SpGS); and SME Financing Guarantee Scheme (SFGS)

Financial Support for SMEs at Different Stages of Development

Hong Kong, China recognized the importance of SMEs to economic development and detailed how they have been providing comprehensive financial support to SMEs to satisfy their needs at different stages of development. This includes, a microfinance scheme to assist those who wish to start their own businesses or become self-employed, various funding schemes that assist SMEs to grow and expand their businesses, and loan guarantee schemes that allow SMEs to secure liquidity for sustainable development

Indonesia

Industry-Oriented and Cloud-Based Services - Help to Improve ICT Adoption and Global Value Chain Integration for SMEs

Nanjing, the host city of the 21st APEC SME Ministerial Meeting, has been leading various efforts to empower SMEs innovative and sustainable growth. One of their main strategies was to set up Nanjing SME IT Adoption Service Center. Through the evolvement of the organization and its activities in the last several years, they have accumulated successful experiences on how to promote the use of ICT among SMEs and on how to improve the level of ICT adoption in manufacture-on-demand, e-commerce application, logistics and supply chain collaboration, business management and others.

IUMK Business Licensing for Micro and Small Enterprises – Indonesian Experiences

Simple, easy and free-of-charge business licensing for micro and small enterprises (MSE).The license provides protection for MSE in doing businesses at the designated location, access to business mentoring, and access to financial sources by registering and opening saving account at the government owned banks. Since the first launched of the initiatives in 2015, 175,646 business licenses were issued and 12,643 new saving accounts were opened at the BRI (Government owned bank).

IUMK Business Licensing for Micro and Small Enterprises – Indonesian Experiences

Simple, easy and free-of-charge business licensing for micro and small enterprises (MSE).The license provides protection for MSE in doing businesses at the designated location, access to business mentoring, and access to financial sources by registering and opening saving account at the government owned banks. Since the first launched of the initiatives in 2015, 175,646 business licenses were issued and 12,643 new saving accounts were opened at the BRI (Government owned bank).

Digital Financial Services: Indonesia Infrastructure Development for Financial Inclusion

Indonesia introduced about its National Strategy for Financial Inclusion which had three main goals: equitable income distribution, poverty reduction and financial system stability. The program also provided SMEs access to finance with some programs such as land certification, livestock insurance, financial record keeping culture, and bazaar intermediation. To support this program, government develop infrastructure for financial inclusion through digital financial services.

SME Seminar on Cross Border Trade in APEC Region

The seminar on CBT in the APEC Region took place on 4-5 February 2014 in Bali, Indonesia.

Recommendations from the seminar included: 1) Building and improving database of information on CBT for SMEs; 2) Simplifying the documentation procedures/requirements and accreditation process, especially for SMEs to export their products throughout the economy; 3) Increasing the role of various business actors through strong coordination to encourage a more significant role of SMEs in CBT; 4)

Encouraging SMEs to produce value-added products, through increasing capacity building and technical assistance as well as promoting the value chain; and 5) Facilitate business meetings and business matching between SMEs in cross-border areas with neighboring economies

Seminar on Cross-Border Trade (CBT) in APEC Region

The seminar on CBT in the APEC Region took place on 4-5 February 2014 in Bali, Indonesia.

Recommendations from the seminar included: 1) Building and improving database of information on CBT for SMEs; 2) Simplifying the documentation procedures/requirements and accreditation process, especially for SMEs to export their products throughout the economy; 3) Increasing the role of various business actors through strong coordination to encourage a more significant role of SMEs in CBT; 4)

Encouraging SMEs to produce value-added products, through increasing capacity building and technical assistance as well as promoting the value chain; and 5) Facilitate business meetings and business matching between SMEs in cross-border areas with neighboring economies

Indonesian Experiences on Development of Micro Finance Institution

Indonesian Experiences on Development of Micro Finance Institution

Indonesia shared its practices on development of micro finance institution (MFI), which included an overview of its financial system and MFI, initiatives in developing MFI, challenges and future development of MFI in Indonesia.

Indonesia Policy to Address the Lack of SME Exporter Access to Financing

Indonesia briefed about its export financing institutions, financing schemes for export and promotion, capacity building programs for SMEs exporters, and portfolio of SMEs financing.

Sharing Experience: Easing Access of SMEs to Finance Through Group Lending Model

Indonesia shared about the case of BTPN Mitra Usaha Rakyat & Tunas Usaha Rakyat as the model implemented by a private bank targeting MSMEs and productive poor groups of people..

Sharing Experience: Easing Access of SMEs to Finance Agriculture Sector

Indonesia shared its experiences on easing access of SMEs to financing in the agricultural sector through the Nusantara Jaya Cooperative and business development service provider (BDSP)

Indonesia Micro-Financing Best Practice: The “Perkassa” Program

The Perkassa Program was an Indonesian government micro-financing program started in 2007. It was designed to alleviate poverty and provide access to SME financing by strengthening women’s cooperatives through a shared capital revolving fund. The government funded the program, but used banks as a conduit. The program targeted women’s cooperatives in agriculture, agro-industry, manufacturing, trade and services.

Building Clients Capability, Management, Entrepreneurship and Innovation: BRI Experience

Indonesia faced many challenges because of its diverse population, which made it especially difficult for SMEs to get access to finance. Indonesia had thus experimented with microfinance to alleviate this issue, giving micro-loans and credit to SMEs. These initiatives brought about results because of several key success factors, including making microcredit highly accessible and ensuring that lending institutions cover their own costs and become sustainable.

Financial Inclusion and MSME Programs in Indonesia

In the presentation, Indonesia pointed out that distribution of wealth was not equal throughout it diversified land mass and population. MSMEs in Indonesia were prevented from growing because of access to finance issues. Initiatives were underway to increase the engagement of low-income communities in entrepreneurial activities. The initiatives for financial inclusion and MSME development were conducted through 6 pillars, namely financial education, public financial facility, mapping on financial information, supporting policy and regulation, intermediary/distribution facility and consumer protection

Financing MSME: Accessibility is the Key

Indonesia reported on its Bank BRI, a financial institution that specializes in small-scale and microfinance. BRI had commitment to focus on banking services to MSMEs. This commitment was reflected in the allocation of loan for the

MSMEs which is about 70% of its total loan portfolio.

Promoting Financial Inclusion and Literacy among SME – Indonesian Experience

Financial literacy survey conducted in Indonesia, showed that the level of financial education increased the financial literacy and eventually increased the awareness to use formal financial services and products. Financial education required a strong commitment among parties (government and private institution) and the most important thing is coordination and collaboration among institution.

Bank Rakyat Indonesia’s Infrastructure Development for Financial Inclusion

Indonesia made a brief presentation highlighting the Bank Rakyat Indonesia’s (BRI) financial initiatives in Indonesia, including the first bank satellite, which would be launched by bank BRI in the near future, to provide financial outreach to all of Indonesia.