On Thursday, the Da Nang People’s Committee Vice Chairman, Mr Vo Duy Khuong, urged the city’s Department of Finance and the local Development and Investment Fund to complete detailed plans for the establishment of a guarantee fund for local small and medium-sized enterprises (SMEs) as soon as possible.

The fund, with an initial charter capital of 100 billion VND, will be financed from the city’s budget and local credit institutions, along with contributions from local enterprises, organisations and individuals.

The fund’s management board will comprise representatives from the Development and Investment Fund, the Department of Finance, and the city’s branch of the State Bank of Viet Nam.

Those able to access the fund will include local SMEs, co-operatives, cooperative alliances, and business households.  In addition, other beneficiaries can be farming households, fishermen and farm owners who are involved in offshore fishing, aquaculture, and animal breeding.

The city now has over 12,500 SMEs, with a total registered capital of 63,000 billion VND.  95% of the total number of businesses operating in the city are SMEs.  Together they have earned 84,000 billion VND in revenue, which makes up over 36% of the total industrial production of the city.