To further enhance the effectiveness of the SME Export Marketing Fund (EMF) and the SME Training Fund (STF), the Trade and Industry Department (TID) has increased the funding ceilings and streamlined the application procedures of the two schemes with effect from February 24, 2003.

Under the new arrangements, the maximum amount of a grant an SME may receive under the EMF has been increased from $10,000 to $40,000. Moreover, an SME may receive grant under the EMF more than once, as long as the ceiling of $40,000 per SME is not exceeded. For each successful application, the maximum amount of grant is $20,000, or 50 per cent of the total expenditure on fundable items of the approved export promotional activity, whichever is the less.

For the STF, the funding ceiling for employers' training has been increased from $5,000 to $10,000, and that for employees' training has been increased from $10,000 to $20,000. Hence, a maximum of $30,000 per SME. For each successful application, the maximum amount of funding is 50 per cent of the training expenses.

Also, more flexible application procedures were introduced to the STF. SMEs may now apply for the STF either before or after the commencement of the training courses, as long as the applications are submitted not later than 30 days after the completion of the courses.

Launched in December 2001, the EMF aims to encourage SMEs to expand businesses through participating in export promotional activities, including study missions. The STF, launched in January 2002, aims to help SMEs enhance human resources by providing them with a training grant for sending their employers or employees to local or overseas training which is relevant to their businesses. As at mid-February 2003, more than 9,000 SMEs have so far benefited from the two schemes, involving an amount of grant of about $60 million.