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Enterprise Financing Scheme (EFS) - Trade Loan

This programme helps enterprises finance their import, export and Guarantee needs. 

The supportable activities for loan include:

  • Inventory / Stock Financing, 
  • Structured Pre-delivery Working Capital (revolving working capital), 
  • Factoring (with Recourse) / Bill of invoice/ AR discounting,
  • Overseas Working Capital Loan.

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Benefits
Up to S$10 Million loan amount per Borrower Group, valid until 31 March 2021.*

Note: Overall loan exposure limit of S$50 million per borrower group across all areas.

*Refer to "Critical Information" for more details.
Eligibility

You are:

  • A Singaporean enterprise looking to access financing for importing, exporting and Guarantee needs.

 

You need to:

  • Be a business entity that is registered and physically present in Singapore,
  • Have at least 30% local equity held directly or indirectly by Singaporean(s) and/or Singapore PR(s), determined by the ultimate individual ownership,
  • Have a Maximum Borrower Group* revenue cap of S$500 million for all companies.

*Refer to "Critical Information" for more details. 

Critical information

The Trade Loan covers enterprises’ domestic and overseas transactions. It also compliments the current Loan Insurance Scheme (LIS) through the Government insuring loans which are beyond the capacity of current LIS insurers. 

In the event of company insolvency, the Government will provide 90% risk share on the loan for new applications initiated from 8 April until 31 March 2021.


Borrower Group consists of the following:

  • Borrower; and
  • Corporate shareholders that holds more than 50% of total shareholding of the applicant company, and any subsequent corporate parents (all levels up), and subsidiaries (all levels down).

Repayment Period: Up to 1 year

Interest Rate: Subject to PFIs' assessments of risks involved

What to expect when applying

Interested enterprises may approach any of the following Participating Financial Institutions to apply for the loan with the required supporting documents (subject to banks’ credit approval).

List of Participating Financial Institutions can be found here.

Documents you'll need for your application
For application details and instructions on how to compile all required supporting documents for submission, click here.
Useful links
For more details: EFS