The Hong Kong Government could consider investing in small and medium enterprises (SMEs) to help boost overall industry performance, Secretary for Commerce, Industry and Technology, Henry Tang, said yesterday.
Speaking on a radio programme, Tang said many SMEs ran into difficulties in securing finance from banks because they lacked capital.
In such cases it might be useful if Hong Kong could follow the lead of some foreign countries, such as Singapore, to help cash-strapped SMEs, he said.
''In Singapore there is a policy where the government invests in some firms. The amount could be very small, like HK$100,000 or HK$200,000, but for the SMEs this is very helpful,'' Tang said. “I'm not saying that we have to follow this direction. But it's worth thinking whether this is feasible or not.'' Tang said the government needed to help SMEs improve their businesses as they played a crucial role in the economy.
