XN000022-1973-04-11 — Page 12

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Wednesday, April 11, 1973

DISAPPOINTING RESPONSE TO LOAN SCHEME

By Small Industries

Recommendations aimed at making the loans scheme for small industries

more attractive were submitted today to the Government for consideration.

This was disclosed by the Director of Commerce and Industry, the

Hon. E.P. Ho, at the Legislative Council meeting in reply to a question by

the Hon. Q.W. Lee.

The proposals, endorsed by the Trade and Industry Advisory Board

on Monday, were made by the re-constituted Loans for Small Industry Committee

following "disappointing response" to the new facility.

Mr. Ho said that since the launching of the scheme in July last year,

five hundred enquiries were received.

But after this first flush, he said, the numbers of enquiries

dropped to a mere handful a month.

He pointed out that these enquiries were only for information and

could not be classified as applications for loans.

"In fact, the number of actual applications received to date is

twenty-four," said Mr. Ho.

further,

Of these, fourteen applicants eventually decided against proceeding

Of the remaining ten cases, six loans totalling $914,500 had been

approved, three applications totalling $287,000 had been rejected or abandoned

and one for $120,000 was being processed.

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