Tag: SMEs

Bangkok, Thailand – The Office of Small and Medium Enterprises Promotion of Thailand (OSMEP), in association with the ASEAN Coordinating Committee on Micro, Small and Medium Enterprises (ACCMSME) and the Federal Government of Germany and the German Agency for International Cooperation (GIZ) have spearheaded the launch of the ASEAN Access MATCH, a business matching platform, with a view to boosting trade within and beyond the ASEAN region.

Said platform is the newest feature of the ASEAN Access, the online portal for business information on trade and market access in ASEAN launched in June 2021. The platform offers registered members of the ASEAN Access platform the opportunity to be a part of an international business community and create visibility for their businesses beyond the region.

In his keynote address, Assoc. Prof. Dr. Veerapong Malai, director-general of OSMEP Thailand, said, “The MATCH’s feature will be a gamechanger in connecting enterprises across ASEAN and beyond to remain relevant in the global supply chain by establishing business connections from MATCH services which include live market information events, 1-2-1 matchmaking meetings, and product and technologies showcasing opportunities.”

Meanwhile, Reinhold Elges, country director at GIZ Thailand, highlighted the convenience of connecting to businesses abroad offered by the ASEAN Access MATCH.

“ASEAN Access MATCH will allow these businesses and entrepreneurs to connect with buyers and suppliers in ASEAN and beyond, at the click of a button. No more extensive travelling to meet a potential client, and no more travelling and accommodation costs when meeting suppliers. ASEAN Access MATCH will allow businesses to connect virtually with one another and showcase their products and services, free of charge,” he stated.

The ASEAN Access contributes to the implementation of the ASEAN Strategic Action Plan for SME Development 2016 – 2025 which envisions to create globally competitive MSMEs that are seamlessly integrated into the ASEAN community by focusing on initiatives to promote productivity, technology and innovation; increase access to finance, enhance market access and internationalisation; enhance policy and regulatory environment and promote entrepreneurship and human capital development.

Hong Kong – Global Fintech-as-a-Service company, Rapyd, has concluded the acquisition of Neat, a Hong Kong-based cross-border trade enabling platform for small and medium businesses (SMBs) and startups.

Rapyd’s global payments network supports more than 900 payment methods in over 100 countries and global payouts in over 200 countries making it uniquely suited to support entrepreneurs and SMBs looking to incorporate, get online, and access new markets quickly and inexpensively

With the integration of Neat, users will now be able to incorporate new companies in minutes, streamline receivables and payables in a single venue, start with Hong Kong and soon in other trade-friendly markets around the world, offer real-time high-value payments in Hong Kong via FPS, CHATS, and SWIFT, and accelerate payments to suppliers across Greater China, as well as empower smart business and employee spending via virtual and physical Visa cards, and provide eligible businesses with fast working capital through an in-wallet credit line.

Arik Shtilman, Rapyd’s CEO and co-founder, shared that completing the acquisition of Neat represents a significant step forward in expanding our platform’s global capabilities for small and medium businesses.

“As SMBs have evolved into increasingly complex and ambitious enterprises, the tools they require must advance as well in order to keep pace with the demands of this new wave of ‘micro-multinationals.’ We will continue to add more tools to our network in order to continue to support these growing businesses,” said Shtilman.

Multan, Pakistan – The State Bank of Pakistan (SBP) and the Multan Chamber of Commerce & Industry (MCCI) had recently hosted a 2-day SME mela or event on January 25 to 26, where attendees visited the banks’ stalls to seek knowledge of SBP’s financing schemes and banks’ loan products.

The event was attended by officials and members of chambers of industry and commerce, associations of traders and women entrepreneurs, and SMEs clusters of Multan. Said attendees registered themselves at various bank’s stalls to express interest in concessional schemes, including 105 SMEs and women entrepreneurs who applied on the spot for financing under different SBP’s schemes and the Kamyab Jawan Program, a youth development program by the Pakistani government.

Muhammad Ashraf Khan, managing director at SBP Banking Services Corporation (SBP BSC), inaugurated the event and while giving his keynote address said that SBP is making all its efforts to enhance collaboration with the industry and chambers across the country to spread awareness of its credit schemes to boost their utilisation. 

He also added that through the event, banks and the business community would be brought under one roof, providing an opportunity to micro, small, and medium enterprises to seek guidance from concerned officials of SBP and commercial banks about concessionary refinance schemes. He also encouraged those SMEs to apply under SBP’s SAAF that have strong business viability but do not have collateral to offer. 

On day one of the Mela, participants were briefed about the key features of SME ASAAN Finance Scheme (SAAF) and PM Kamyab Jawan Youth Entrepreneurship Scheme. Under SAAF Scheme, collateral free financing of up to Rs10m is available through eight participating banks. Similarly, under Kamyab Jawan Scheme, concessional loans of up to Rs25m are available at end user rate of 3% to 5%. On the second day of Mela, participants were apprised about key features of SBP’s financing scheme for renewable energy and Mera Pakistan Mera Ghar (MPMG) Scheme.

Ho Chi Minh, Vietnam – OPEC Fund, the intergovernmental development finance institution established by the Organization of the Petroleum Exporting Countries (OPEC), has announced that will be granting a US$35m loan to local bank Southeast Asia Commercial Joint Stock Bank (SeABank) to facilitate access to finance for small and medium enterprises (SMEs) and women-owned businesses.

Said loan complements a US$80m loan from the International Finance Corporation (IFC), as well as a US$20m trade limit and a US$85m IFC-arranged syndicated loan from international lenders.

SMEs account for 98% of all enterprises and 50% of employment in Vietnam and are the backbone of the country’s economy. Women-owned businesses have been disproportionately affected by the COVID-19 pandemic due to reduced access to financial services and business interruptions resulting from obligations such as childcare during lockdowns.

OPEC Fund Director-General Abdulhamid Alkhalifa said, “We are pleased to partner with SeABank and join forces with international lenders to provide financing to support Vietnam’s sustainable economic growth. Increasing access to finance for SMEs, especially women-owned businesses, will help reduce inequalities in line with the Sustainable Development Goals (SDGs).”

Meanwhile, Le Thu Thuy, general director at SeABank, commented, “Supporting SMEs and women-owned enterprises has always been a priority of SeABank’s development strategy and remains our responsibility as these enterprises are facing the challenges of the COVID-19 pandemic. 

She added, “SeABank is honoured to have won the trust and financial support of the OPEC Fund, a respected multilateral development finance institution. This illustrates SeABank’s reputation and ability to access international capital. The OPEC Fund’s financing will enhance SeABank’s capacity to support the development of women-owned businesses as well as develop gender-smart actions.”

Vietnam has continued to ramp up efforts to finance its growing SME population, including the Asian Development Bank signing a US$25m loan to TPBank.

Kuala Lumpur, Malaysia – HSBC in Malaysia has launched its first multi-currency digital wallet catered to the local small-and medium enterprises (SMEs), which will allow businesses to make and receive international payments simply and securely from one single global account.

The wallet is fully integrated within HSBC’s existing business banking platform, HSBCnet, and by using the bank’s global payments network, allows SMEs to ‘pay and receive like a local’. SMEs can send and receive money in 10 currencies, and hold and manage those currencies by establishing a single banking relationship with HSBC Malaysia.

Shayan Hazir, head of global liquidity and cash management at HSBC Malaysia, said “Global Wallet removes these pain points and challenges for SMEs by enabling them to quickly and securely transact with their suppliers and clients around the world in the destination currency. Global Wallet simplifies payment processes so that SMEs can grow their business internationally, be able to transact with their suppliers and clients around the world seamlessly and have better control over payment flows which is critical for efficient cash flow management.”

The solution currently supports 10 currencies including the US dollar, Japanese yen, renminbi, Singapore dollar and euro. Paying and receiving like a local allows for these transactions to be done within the same or next day.

Meanwhile, Andrew Sill, country head of commercial banking, HSBC Malaysia, commented, “As the trusted international bank of choice for SMEs, the launch of HSBC Global Wallet cements our commitment to scaling up our SME banking capabilities in Malaysia and supporting SMEs as they expand internationally. Drawing on HSBC’s deep digital expertise and wide global network, we are helping SMEs to build resilience and trust within their global supply chains whilst making everyday banking easier.”

Sill added, “As the payments landscape continues to evolve, we are leveraging real innovation that comes from a blend of human collaboration and new technologies to transform. HSBC is transforming alongside our customers as we collaborate and co-create innovative products, services and ideas to build smarter businesses together.”

Singapore – Tech giant Google in Singapore has announced that it will be offering 5,000 Google Career Certificate scholarships to its 13 local partners to enable the local workforce in the country. Said offering is part of Google’s objective to extend its offering of Skills Ignition SG, an expanded skills program.

Google will partner with all five polytechnics in the country, three ITEs, social service agencies as well as self-help groups such as The Codette Project, Singapore Indian Development Association (SINDA), and Yayasan MENDAKI (Council for the Development of Singapore Malay/Muslim Community) to distribute the scholarships.

Available on the online education platform Coursera, Google Career Certificates are flexible online training programmes that enable learners with no prior experience or a degree to unlock new job opportunities in four tracks: ‘IT Support’, ‘Project Management’, ‘Data Analytics’ and ‘UX Design’. 

Each curriculum is created by Google’s in-house experts and designed to equip students with fundamental skills through hands-on learning, allowing them to progress at their own pace while studying or working.

In addition, Google has formed an employer consortium to connect graduates from Skills Ignition SG with employers who have a need for qualified candidates in these fields. Members of the consortium include Coca-Cola, Group East Digital, Integrated Health Information Systems (IHiS), L’Oreal Singapore, Omnicom Media Group, SPH Media Limited, to name a few.

Scott Beaumont, president of Google Asia Pacific, commented that this new local endeavor means even more Singaporeans will be able to access training opportunities, learn new skills and better compete for jobs in the digital economy as it continues to grow.

“With a strong digital talent pool, Singapore can lead the way as a regional and global technology hub. We know that partnerships between government agencies, businesses and community organizations are the best way to ensure that Singaporeans have the skills they need, and we’re proud that Skills Ignition SG has already helped more than 3,200 people. We want to build on that progress in 2022 and beyond,” Beaumont stated.

Kuala Lumpur, Malaysia – Adwork, a self-serve end-to-end advertising platform, has partnered up with media organization SPH Media for the launch of a first cross-border media marketplace for Southeast Asia. This will allow Malaysian small and medium enterprises to advertise their business in Singapore.

Kumaresh Visvanathan, CEO at Adwork, stated that Adwork will be expanding regionally to various countries in the next five years. After Singapore, Adwork will expand its reach to Indonesia and Thailand next year, while 2023 will see Australia, Vietnam and Philippines coming on board. 

“No one in the region has attempted this cross-border media buy platform before and we are the first to introduce it. Going regional and introducing cross-border media buy has always been part of Adwork’s regional expansion plan and now it is finally happening,” Visvanathan said.

Founded in 2019, Adwork levelled the playing field for these smaller businesses. Being one of Malaysia’s largest media advertising marketplace, they offer advertising across 12 channels like billboards, newspaper, radio, television, talk shows and more. Similar to other e-commerce platforms, users can select their desired media advertisement channel, upload their creative art work and pay.

To date, Adwork is developing its proprietary recommendation engine which is AI-based and is set to be launched sometime next year. This feature will be able to read and analyze existing SME profiles in its system and recommend potential products which are relevant to users. 

It will also be able to tell users what other similar SMEs have bought and the exposure rate. This system will also educate users on the various advertising platforms available out there both locally and internationally. It will also make recommendations for overseas advertisement in a bid to help local businesses go global.

“Everyone wants to expand their business but most of the time, they just don’t have access to the right platform to market their products outside Malaysian borders or unsure where to begin. This is one of the ways to do it, where users will not only get to go regional but also be well-educated on the options and possibilities available out there,” Visvanathan added.

Meanwhile, Alicia Luke, channel excellence lead at SPH Media, hopes that this first-of-its-kind platform will be able to help more SMEs in Singapore and Malaysia grow and expand their business. 

“We are delighted to be on board this partnership and it certainly is an exciting time ahead. In our current technological era, we have to start thinking out of the box, in terms of advertising, and not rely solely on traditional methods which may not work for all, especially in this digital day and age. I believe that the SME advertisement market is huge and with the help of this platform, all business big and small will now be on a level playing field,” Luke said.

Singapore – Life insurance company Prudential in Singapore has partnered with Ngee Ann Polytechnic and ST Engineering to equip small and medium-sized enterprises (SMEs) with the knowledge and resources on how to go digital in a safe and secure manner.

The initiatives include a digital commerce playbook launched in collaboration with Ngee Ann Polytechnic in September 2021 to help SMEs kickstart their digital journey. Said playbook was developed together with students from the Ngee Ann Poly School of Business & Accountancy who specialize in business digitalization. 

Meanwhile, with ST Engineering, Prudential is offering training to improve SMEs’ cybersecurity awareness so they can better safeguard their business.

For Goh Theng Kiat, chief customer officer at Prudential Singapore, digitalization is important for businesses to better engage their employees and customers, as well as optimize processes.

“SMEs recognize that going digital is not just about being future-ready but a matter of survival in the current pandemic. To support SMEs through this challenging time, we are collaborating with different industry players to empower them with knowledge, experience and tools, to accelerate their digital transformation so they can stay relevant to their customers,” Goh said.

Meanwhile, Goh Eng Choon, president of cyber at ST Engineering, commented, “The collaboration between ST Engineering and Prudential will empower the SMEs, equipping them with the knowledge and resources to elevate their cybersecurity readiness. We draw upon our deep cybersecurity competencies to provide robust and latest technologies, solutions and services to enhance their cyber resilience.”

In October 2020, the company launched the SME Skills Accelerator programme to equip SMEs with the skills and resources to grow and innovate, upskill their employees, and improve employee retention. It is a collaboration between Prudential and SkillsFuture Singapore, under the SkillsFuture Queen Bee partnership.

Manila, Philippines – SME-centric financial platform Investree and banking-as-a-service company Netbank have recently announced a collaboration, targeted at supporting the development of SMEs across the Philippines. Through the partnership, Netbank allocated funds for Investree clients to support the initiatives that will be carried out in 2022 to contribute towards the Philippines’ economic growth, provision of new jobs, and paving the way for scaling up businesses.

In addition, Investree is awaiting its Securities and Exchange Commission (SEC) permit to operate in Visayas and Mindanao which will allow the service to reach nationwide after being able to serve SMEs in Luzon Area providing convenient access to funds and marketplace platforms connecting SMEs and institutional investors.

The collaboration between Netbank and Investree aims to fill in the gap of local SME lending, which at the moment is very underserved in the Philippines. SME loans as a percentage of GDP is approximately 3%, compared to 37% in Thailand and other countries in the region. As a result, SMEs struggle to grow, slowing job creation and economic development.

According to Kok Chuan Lim, co-founder and CEO of Investree Philippines, they have been working with the team at Netbank since they obtained their license earlier this year to jointly develop services that will improve ease of use for their SME issuers and reduce credit risks for their note investors. 

Lim also added that they are confident that their partnership will further enhance the adoption of crowdfunding as a viable working capital source for their SME clients.

“The COVID-19 crisis has taken a huge toll on small companies in the Philippines, businesses have been affected by lower sales and difficulty accessing inputs to reduced logistics services and clients not paying bills. To help SMEs bounce back from this, Investree and Netbank are collaborating to expand the loans to this critical sector,” Lim stated.

He added, “Providing account opening services and investing in crowdfunding services will allow Investree clients to finance their trade receivables, giving SMEs vital cash to accelerate their growth. This partnership also allows Investree to accelerate its growth and ultimately serve the underserved SME market.”

The collaboration between Investree and Netbank would also contribute to accelerating financial inclusion within the country.

Meanwhile, Jaymar G. Mendoza, co-founder and head of operations at Netbank, commented that they hope to support the efforts in increasing financial inclusion within the country.

“We aim to combine both expertise and flexibility that banking and fintech has to offer to create more impact for the market. The partnership between a regulated bank and an alternative lender is very powerful wherein the Banks bring balance sheet management experience and processes and the alternative lenders bring a deep understanding of their clients,” Mendoza added.

Lim further added, “With the support from Netbank, Investree Philippines will be harnessing the expertise and power of technology to give SMEs vital cash to accelerate their growth to increase financial inclusion and ultimately help the Philippines’ economy. Also, we would like to equally serve all the SMEs in the nation, therefore, inquiring about the permit to operate Visayas and Mindanao will allow us to do that. We would like to keep innovating and include more businesses in the Philippines.”

Singapore – Sleek, the smart corporate services platform that provides accounting services for SMEs and entrepreneurs, has bagged US$14m in Series A funding, valuing the company now at US$24m.

The fresh funds will be used to bolster Sleek’s tech and product development, hiring, and expand presence in existing markets and enter new ones.

Sleek, which has a presence in Singapore, Hong Kong, and Australia, as well as the UK, and the Philippines, streamlines, automates, and integrates company set-up, financial and regulatory reporting, and book-keeping, as well as banking services.

Commenting on the new funding, Julien Labruyere, Sleek’s co-founder, said, “This will allow us to grow faster and improve our product further in order to become the go-to digital platform for all entrepreneurs.”

The company has recently launched ‘Sleek Business Account’ that simplifies opening bank accounts for SMEs. It enables entrepreneurs and small business owners to open a deposit account in just a day through the Sleek app, and start transacting.

Adrien Barthel, Sleek’s co-founder, said that with the launch of Sleek Business Account, they have added a major brick in the company’s product vision of building the operating system for entrepreneurs. 

“Gone are the days where you needed to navigate between your corporate secretary, accountant, and banker – often sending documents hard copies via courier. Now everyone can start a Singapore company and collect the first payments in a day, and from anywhere,” said Barthel.

The funding has been led by investors White Star Capital and Jungle Ventures.