Abstract: The science-and-technology-based SMEs' technological innovation fund is a governmental special fund which is used for supporting the technological innovation of the SMEs. Since its establishment in 1999, the fund has played an important role in encouraging the SMEs' technological innovation, boosting the commercialization of research findings, etc. This article summarizes the results of the fund's promoting the enterprises' growth, industrial development, regional economic development and innovation, etc., and points out three problems along with policy proposals: the capital scale of the present innovation fund fails to meet the need of the new situation, the unbalance of regional development and the technical field development.