Staunch support: Secretary for Commerce & Industry Rita Lau gives a briefing on proposals to help SMEs weather the financial tsunami.

Secretary for Commerce & Economic Development Rita Lau has proposed a host of measures to boost Hong Kong Export Credit Insurance Corporation's service to assist small and medium-sized enterprises.

Speaking after an SMEs summit today, Mrs Lau said the corporation will provide cover for the payment risks arising from the buyers' failure to take delivery of goods which are usually not covered by other insurance companies in the market.

The processing time in handling exporters' credit limit applications will be shortened to four days upon receipt of adequate information.

Despite the rising credit risks involved in the selling to overseas markets, the council will not increase the premiums for its insurance facilities.

Each Hong Kong exporter, whether or not a policyholder of the council, can enjoy a certain number of free buyer credit assessments.

Experience sharing

More seminars or forums will be held to share with the industry experiences in risk management, enhance their knowledge on the latest developments in overseas markets and understand the needs of exporters with a view to improving services.

Mrs Lau said the proposed measures should first be approved by the council and will then be tabled to lawmakers next week.

Meanwhile, the Trade & Industry Department will also bolster the services provided by the Support and Consultation Centre for SMEs.

As many SMEs may need to equip themselves with practical knowledge and skills in operating under the current difficult market situation, the centre will organise more seminars and talks in the near future on exploring new business opportunities, developing new markets, managing stress and financial management.