Santa Fe promotes financial tools to boost SME development

Public and private sector representatives in Santa Fe are promoting financial tools to boost regional small and medium-sized enterprises (SMEs). During a meeting at the Bolsa de Comercio de Santa Fe, organized alongside the Cámara Argentina de Sociedades y Fondos de Garantía (CASFOG), experts discussed credit instruments and investment alternatives to strengthen the productive sector.

One key mechanism discussed is the use of Mutual Guarantee Societies (SGR), which can reduce financial costs for SMEs by up to 20%. However, CASFOG president Pablo Pereyra noted that adoption remains low, with only one in ten Santa Fe SMEs currently utilizing SGR assistance.

Additionally, a provincial government program in collaboration with the Mercado Argentino de Valores (MAV) offers short-term financing for SMEs. This scheme allows companies to negotiate instruments for up to 180 million pesos with terms of up to 180 days. To facilitate access to working capital, the Province of Santa Fe provides a subsidy of up to 10 percentage points annually on the market rate, aiming for a minimum rate of 15% for beneficiaries. Eligible instruments include deferred payment checks, promissory notes, and electronic credit invoices.