In his 2019-20 Budget, Financial Secretary Paul Chan today said recent changes in the global economic and trade environment have affected Hong Kong companies, especially those engaging in external trade and small and medium enterprises.

He introduced measures to support local enterprises in tiding over uncertainties in the present environment to achieve the goal of “supporting enterprises, safeguarding jobs and stabilising the economy.”

The Government will waive the business registration fees for 2019-20, benefiting 1.4 million business operators and reducing government revenue by $2.9 billion.

It will also regularise the Technology Voucher Programme and roll out enhancement measures, including doubling the funding ceiling for each enterprise to $400,000 to encourage the wider adoption of technology by local firms to improve their efficiency and services.

The Government will also inject another $1 billion into the Dedicated Fund on Branding, Upgrading & Domestic Sales this year and extend the scope to include all economies which have entered into a free trade agreement with Hong Kong.

It will also increase the funding ceiling per enterprise to $3 million this year.

The Government will extend to June 30, 2020 the application period of the special concessionary measures under the SME Financing Guarantee Scheme. The measures include cutting the guarantee fee rates by 50%, raising the maximum loan amount to $15 million, and extending the maximum loan guarantee period to seven years.

Mr Chan said the Government will keep a close watch on the external and local economic situation, adding appropriate measures will be introduced when necessary to support enterprises and stabilise the economy.