Decree No. 39/2019 /ND-CP on development funds for small and medium enterprises

Small and medium sized enterprises can directly borrow from small and medium enterprise development funds when meeting the following 04 conditions:

- Meeting the provisions of Article 4 of the Law on Support for Small and Medium Enterprises;

- Having feasible production and business projects and plans, exploiting various types of intellectual properties or new technologies or new business models according to specialized law provisions;

- Ensuring the source of owners' equity participating in the project, production and business plans at least 20% of the total investment capital for the implementation of production and business projects and plans and ensuring sufficient capital sources for carrying out the project;

- Meeting the provisions on loan security in accordance with this Decree.

Enterprises can borrow for each production and business project or plan not exceeding 80% of the total investment capital of each project or plan. The direct lending interest rate for enterprises is equal to 80% of the lowest rate of commercial lending rates.

Decree 39/2019/ ND-CP takes effect on July 1, 2019. Download the ducument here. (Vietnamese verson)

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