Document:

Exhibit 4.2

                                                                        Standard
                                                                       Chartered
Date; 6th June 2007

Our Ref: CR/LC/TEAM4/BKA

CONFIDENTIAL

Bonso Electronics Limited
Units 1106-1110, 11/F.,
Star House, 3 Salisbury
Road, Tsimshatsui, Kowloon.

Attn. Mr. Anthony So/Ms Cathy Pang
----------------------------------

Dear Sirs,

BANKING FACILITIES

     Standard Chartered Bank (Hong Kong) Limited ItJft () "jEJ (the "Bank") is
pleased to offer the following banking facilities (the "Facilities") to the
Customer below for the purpose(s) of general working capital, trade finance and
treasury requirement, subject to the Bank's Standard Terms and Conditions for
Banking Facilities and Services (including the Trade Finance Supplement) and
Terms and Conditions for Foreign Exchange Business attached and the terms and
conditions set out in this facility letter.

A. CUSTOMER:

     Bonso Electronics Limited

B;- FACILITY LIMITS:

     (1) General Banking Facilities
<TABLE>
<CAPTION>

  -------------------------------------------------------------------------------------
  Type(s) of Facility                 Facility Limit(s)    Designated Customer(s) and
                                                           Sub-limit(s), if applicable
  -------------------------------------------------------------------------------------
<S>                                      <C>
  1. Current Account Overdraft        HKD3000,000.-        o The Customer
  -------------------------------------------------------------------------------------
  2. Trade Finance                    HKD55,000,000.-      -
  (Please refer to Appendix I for
  product details.)
  -------------------------------------------------------------------------------------
  (a) Trade Finance Group All                              o The Customer
                                                           (HKD55, 000,000.-)
  -------------------------------------------------------------------------------------
  (b) Trade Finance Group I                                o The Customer
                                                           (HI0551 000, 000.-)
  -------------------------------------------------------------------------------------
  (c) Trade Finance Group 2                                o The Customer
                                                           (HKD65,000,000.-)
  -------------------------------------------------------------------------------------

Standard Chartered Bank (Hong Kong) Limited
Wholesale Bank
<PAGE>

                                                                          Page 2

  Bonso Electronics Limited

 o (d) Trade Finance Group 3                                    The Customer
                                                               HKD55, 000,000.-)
  ------------------------------------------------------------------------------
 3.                          Factoring HKD20,000,000.-         o The Customer
                            (being FlU Limit)
  ------------------------------------------------------------------------------
 Total Facility Limit:       HKD78,000,000..-
  ------------------------------------------------------------------------------
 Note:-
 o The aggregate outstanding of all Sub-limits shall not at any time exceed the
 Facility Limit of that Facility and the Total Facility Limit
 -------------------------------------------------------------------------------

       o       (2) Treasury Facilities (The Bank may arrange for these
               facilities to be available through Standard Chartered Bank or
               other members of the Standard Chartered Group and separate
               documentation would be executed where necessary.)

 ---------------------------------------------------------------------
Type(s) of Facility                                   Designated Customer(s) and
                                                      Sub-limit(s) if applicable
 -------------------------------------------------------------------------------
 1. Foreign Exchange Contract(s)                      The Customer
 (Spot)
 Facility Limit to be determined by the Bank on
 a case by case basis.
 ------------------------------------------------------------------------------
 2. Currency and Interest Rate Risk Management        The Customer
 ------------------------------------------------------------------------------

C. PRICING AND CONDITIONS:

 ------------------------------------- ---------------------------------------------------------------------
 1. Current Account Overdraft          Interest: the higher of Prime or HIBOR, payable monthly in
                                       arrears.
 ------------------------------------- ---------------------------------------------------------------------
 2. Trade Finance Interest:
 -                                     HKD import/export facilities: 1.5% per annum over HIBOR.
                                       Foreign currency import/export facilities: 1.5% per annum over
                                       LIBOR.
                                       Commission:
                                       Standard rates unless otherwise stipulated.

                                       Letters of Credit Opening Commission & Commission in lieu of
                                       ---------------------------------------------------------------------
                                       Exchange
                                       First USD50,000.- 1/4%
                                       Balance           1/8%

                                       Commission on other Trade Finance Facilities
                                       Import Invoice Financing       1/8%  flat (minimum HKD400)
                                       Export Invoice Discounting     1/8% flat (minimum HKD400)

                                       Maximum tenor/advance percentage for:
                                       Import facilities: Combined usance and
                                       import loan period of any transaction is
                                       not to exceed 120 days.

                                       Export facilities 60 days
 -----------------------------------------------------------------------------------------------------------

<PAGE>

                                                                                                      Page 3

  Bonso Electronics Limited

  ------------------------------------ ----------------------------------------------------------------------
                                       Packing Credit: up to 90 days or expiry of the letter of credit,
                                       whichever is earlier, and up to 70% of the amount of the letter of
                                       credit.

                                       Discounting of "Documents Against Acceptance" ("D/A") is only
                                       available to  the approved drawee by the Bank:

                                       Import Invoice Financing: allowed up to a maximum limit of
                                       HKD35,000,000.- for a tenor of 120 days up to 100% finance
                                       against presentation of certified true copy of invoice issued by
                                       suppliers approved by the Bank. Individual limit for any new suppliers
                                       to be approved by the Bank from time to time.

                                       Export Invoice Discounting: allowed up to 60 days, and up to 100% of
                                       the invoice amount.
  ------------------------------------ ----------------------------------------------------------------------
  3.                                   Factoring Subject to terms and conditions stipulated in the
                                       Receivables Purchase Agreement executed between the Bank and the
                                       Customer.

   ------------------------------------ ---------------------------------------------------------------------
  4. Foreign Exchange                  Tenor up to 2 days. Contract(s)
  (Spot)

  ------------------------------------ ----------------------------------------------------------------------
  5. Currency and Interest Rate        Tenor up to 18 months.
  Risk Management

  Handling Fee of Facilities:          HKD10,000. - payable upon your signing of this letter, and other
                                       handling fed to be mutually agreed and payable on each anniversary of
                                       the date of this letter if the Facilities are continuinq.

  ------------------------------------ ----------------------------------------------------------------------
</TABLE>

D.      SECURITY AND CONDITIONS PRECEDENT:

The availability of the Facilities is conditional upon the Bank's
holding/receipt of the following documents, items and evidence (both in form and
substance) satisfactory to the Bank:

1.   This letter duly executed by the Customer.
2.   A corporate guarantee executed by Bonso Electronics International Inc. for
     an unlimited amount.
3.   A Receivables Purchase Agreement executed by the Customer for the factoring
     facility.
4.   Original/Certified copies of all necessary consents, approvals and other
     authorisations (including board resolutions) in connection with the
     execution, delivery and performance of this letter and all other documents
     mentioned above, if applicable.
5.   (if any of the facilities referred to in this letter are to be made
     available by Standard Chartered Bank or other members of the Standard
     Chartered Group) All such documents, items or evidence with, in favour of
     or to Standard Chartered Bank or, as the case may be, such member of the
     Standard Chartered Group as the Bank may request.
6.   Such other documents, items or evidence that the Bank may request from time
     to time.

<PAGE>

Bonso Electronics Limited                                                Page 4

E.      COVENANTS AND UNDERTAKINGS:

The Customer undertakes to the Bank that it will:

1.   ensure loan from Bonso Electronics International Inc. (being its holding
     company) at not less than HKD40,000,000.- at all times.

2.   promptly submit to the Bank:

           certified copy of the audited financial statements of the Customer
           and Bonso Electronics International Inc. within g months after their
           respective financial year end; a certified copy of the quarterly
           financial statements of Bonso Electronics International Inc. within 3
           months after the end of the releiant accounting period; and other
           information that the Bank may request from time to time.

3.   immediately inform the Bank:

     o    of any change of the Customer's directors or beneficial shareholders
          of amendment to its memorandum or articles of association or
          equivalent constitutional documents;
     o    of any substantial change to the general nature of the Customer's
          existing business; or
     o    if it becomes, or is aware that any of its directors, shareholders,
          partners or managers becomes, a Related Person (as defined in
          paragraph 5 of section F of this letter).

F.  OTHER TERMS AND CONDITIONS:

1.   The Facilities are available at the sole discretion of the Bank. The Bank
     may at any time immediately terminate, cancel or suspend the Facilities or
     otherwise modify the Facilities without the consent of any party.

2.   Notwithstanding any provisions stated in this letter, the Facilities
     (except for the factoring facility) are repayable on demand by the Bank.
     The Bank has the overriding right at any time to require immediate payment
     and/or cash collateralisation of all or any sums actually or contingently
     owing to it under the Facilities (except for the factoring facility).

3.   The Bank's Standard Terms and Conditions for Banking Facilities and
     Services (including the Trade Finance Supplement) and Terms and Conditions
     for Foreign Exchange Business ("Standard Terms and Conditions") attached
     and/or referred to in this letter forms an integral part of this letter and
     the Customer agrees to observe and be bound by such Standard Terms and
     Conditions.

4.   The terms and conditions set out or referred to in this letter supersede
     and replace those set out in our letter (if any) previously sent to the
     Customer.

5.   Please note that section 83 of the Banking Ordinance imposes on the Bank
     certain limitations on advances to persons (including firms, partnerships
     and companies) related to its directors, employees with lending authority
     or controllers (each person so related shall be referred to as a "Related
     Person"). When acknowledging and accepting this facility letter, the
     Customer should advise the Bank if it is, or any of its directors,
     shareholders, partners or managers is, a Related Person within the meaning
     of the Banking Ordinance. If.subsequent to the acceptance of this facility
     letter, the Customer becomes, or is aware that any of its directors,
     shareholders, partners or managers is or becomes, a Related Person, it
     should immediately advise the Bank in writing.

<PAGE>

                                                                          Page 5

Bonso Electronics Limited

6. The Customer acknowledges the following:

       (a)   The Customer has received and read the Bank's Notice to Customers
             and Other Individuals relating to the Personal Data (Privacy)
             Ordinance (the "Ordinance') and the Code of Practice on Consumer
             Credit Data (the "Notice"); and

       (b)   The Customer has, or will, notify each of its Relevant Individuals,
             the Bank may, in the course of providing banking services to the
             Customer, receive Customer information in respect of that Relevant
             Individual.

       For the purpose of the above, the Ordinance defines a Relevant Individual
       as being one of the following (but not limited to) Chief Executive
       Officer, Chief Financial Officer, Chief Operating Officer, department
       heads, corporate officers (e.g. authorized signatories, company secretary
       etc.), directors, major shareholders, beneficial owners, and guarantors
       (where applicable).

7. This letter shall be governed by and construed in accordance with the laws
of Hong Kong SAR.

  Please sign and return to us the enclosed copy of this letter together with
  the attached Standard Terms and Conditions for Banking Facilities and Services
  (including the Trade Finance Supplement) and Terms and Conditions for Foreign
  Exchange Business to the Bank's Credit Risk Control at 11th Floor, Standard
  Chartered Tower, 368 Kwup Tong Road, Kwun Tong, Kowloon within one month after
  the date of this letter, failing which this offer shall lapse..

  If you have any queries, please feel free to contact any of the following
persons:-

  ------------------------------------------------------------------------------
  Queries on                    Name                               Telephone No.
   -----------------------------------------------------------------------------
  Execution of bank documents   Ms. Kane Leung,                        2282-6193
                                Senior Credit Documentation Manager

  Banking arrangements .        Ms. Sandra Mak, Relationship Manager   2821-1876
  ------------------------------------------------------------------------------

Yours faithfully,
For and on behalf of
STANDARD CHARTERED BANK (HONG KONG) LIMITED

/s/ Karie Leung
---------------
Karie Leung
Senior Credit Documentation Manager
KL/EW/wy
Encl.

We agree and accept all the terms and conditions set out above and the Bank's
Standard Terms and Conditions for Banking Facilities and Services (including the
Trade Finance Supplement) and Terms and Conditions for Foreign Exchange Business
attached andlor referred to in this letter, which we have read and understood.

For and on behalf of
BONSO ELECTRONICS LIMITED

--------------------------------
<PAGE>

                                                                          Page 6

Bonso Electronics Limited

                                   Appendix 1
TRADE FINANCE FACILITY'
Trade Finance Group All
-----------------------

     Negotiation of export credit documents with discrepancies on a with
recourse basis

Trade Finance Group 1
---------------------

o    Purchase of documents against payment bills with title documents on parties
     acceptable to the Bank on a with recourse basis
o    Purchase of documents against acceptance bills with ECA/approved insurance
     cover on a with recourse basis
o    Issuance of back-to-back letters of credit
o    Issuance of import letters of credit - sight and usance
                                         --  with title documents

Trade Finance Group 2
---------------------

o    Purchase of documents against acceptance bills without ECA/approved
     insurance cover on a with recourse basis
o    Purchase of documents against payment bills without title documents on
     parties acceptable to the Bank on a with recourse basis
o    Issuance of quasi back-to-back letters of credit -without title documents
     (i.e. Import letter of credit supported by export letter of credit
     acceptable to the Bank)
o    Issuance of import letters of credit - sight and usance
                                         -- without title documents
o    Shipping guarantees

Trade Finance Group 3
---------------------

o    Pre-shipment loan - i.e. packing credit
o    Acceptance of drafts under import letters of credit
o    Release of documents against acceptance supported by trust receipts
o    Loans against trust receipts
o    Import loans
o    Import Invoice Financing / Export Invoice DiscountingExhibit 4.3

HSBC

Commercial Banking-GP 1, Division C
(CARM 060511)

CONFIDENTIAL

Bonso Electronics Ltd.                                              12 June 2006
Unit 1106-1110 11/F Star House
3 Salisbury Road
Tsimshatsui
Kowloon

Attn: Ms Cathy Pang

Dear Madam

BANKING FACILITIES
A/C NOS. 557-002615-001 / 500-696224

With reference to our recent discussion, we are pleased to advise that we have
reviewed your banking facilities and offer a renewal within the following
revised limits which will be made available on the specific terms and conditions
Outlined below. These facilities are subject to review at any time and, in any
event by 15 April 2007, and also subject to our overriding right of suspension,
withdrawal and repayment on demand, including the right to call for cash cover
on demand for prospective and contingent liabilities.

                                                     New             Previously

  Overdraft                                HKD500,000..-           HKD500,000.-

Interest on the overdraft facility will continue to be charged on daily balances
at our best lending rate (currently 8% per annum, but subject to fluctuation at
our discretion), payable monthly in arrears to the debit of your current
account. -

  Combined Limit                        HKD37,000,,000.-          HKD37,000,000.

Documentary credits with import finance up to 120 days (less any usance or
credit periods granted by your suppliers) and / or D/P bills purchased with ECIC
cover assigned to us.

  Within which, aggregate of the following sub-limits should not exceed
                                        (HKD37,000,000.-)        (HKD37,000,000)

  - Sub-limit for goods under your control and/or Trust Receipts.
                                        (HKD37,000,000.-)      (HKD37,000,000.-)

  - Sub-limit for D/A bills purchased up to 90 days with ECIC cover
  assigned to us.                                   (Nil)      (HKD37,000,000.-)
  - Sub-limit for Clean Import Loan.    (HKD19,000,000.-)      (HKD19,000,000.-)

The Hongkong and Shanghai Banking Corporation Limited
HSBC Main Building, 1 Queen's Road Central, Hong Kong
Tel: (852) 2822 1111 Fax: (852) 2524 6432
                                                                     Page l of 4

<PAGE>

Bonso Electronics Ltd                                               12 June 2006
--------------------------------------------------------------------------------

Clean Import Loans are allowed for up to 120 days, less any usance/credit
period, granted by your suppliers, against presentation of copy of suppliers'
invoices and transport documents bearing your authorized signatures to indicate
your receipt of goods. Our loan period plus any usance/credit period granted by
your suppliers, however, should not exceed 180 days. The proceeds will be
remitted or credited directly to your suppliers' accounts.

We may, at our sole and absolute discretion, refuse to allow drawings under the
facilities if the drawee is considered by us to be unacceptable and / or if the
transaction in question does not meet our operational requirements in respect of
these facilities.

Interest on your HKD import loans will continue to be charged at 1.5% per annum
over H1BOR (Hong Kong lnterbank Offered Rate) and payable at the end of each
interest period to the debit of your current account

Interest on foreign currency import loans will continue to be charged on a daily
basis at our best lending rate for respective foreign currency and is payable
monthly in arrears to the debit of your account

Opening Commission on Documentary Credits (for each validity period of 6
months), Commission In Lieu of Exchange and HKD Bill Commission will continue to
be charged as follows:

    For the first USD50,000.- or its equivalent                       : 1/4%
    For the balance in excess of USD50,000.- or its equivalent        : 1/8%

  - Commission on CIL will continue to be charged as follows:

    For the first USD50,000.- or its equivalent                       : 1/8%
    For the balance in excess of USD50,000.- or its equivalent        : 1/16%

   Default Interest
   ----------------

Please note that interest will be payable on sums which are overdue, drawings
which are in excess of agreed limits and amounts demanded and not paid, at the
maximum rate stipulated in the Bank's Tariff which is accessible at
http://www.hsbc.com.hk/hk/commercial/tool/lpdf/c_tariff.pdf The Bank will
provide you with a hard copy of the Tariff at your request. Interest at the
applicable rate will be payable monthly in arrears to the debit of your current
account.

   Accrual of Interest and Other Sums
   ----------------------------------

Please note that interest and other sums expressed to be chargeable or payable
on a periodic basis will nonetheless accrue from day to day and amounts so
accrued may be demanded at any time.

   Security
   --------

   As security, we continue to hold:

<PAGE>

Bonso Electronics Ltd                                               12 June 2006
--------------------------------------------------------------------------------

1.   A Corporate Guarantee for HKD37,500,000.- from Bonso Electronics
     International Inc together with a Board Resolution both dated 18 March 2004
     and a Legal Opinion from Haney Westwood & Riegels dated 20 April 2004.

2.   A Registered Assignment of DC Proceeds from Bonso Electronics Ltd together
     with a Board Resolution both dated 7 May 2001.

   Covenant
   --------

The Guarantor, Bonso Electronics International Inc., will be required for so
long as these facilities are available to you to comply with the following
covenant. The compliance or otherwise with the following covenant will not in
any way prejudice or affect our right to suspend, withdraw or make demand in
respect of the whole or any part of the facilities made available to you at any
time. By signing this letter, you expressly acknowledge that we may suspend,
withdraw or make demand for repayment of the whole or any part of the facilities
at any time notwithstanding the fact that the following covenant is included in
this letter and whether or not any such covenants are breached.

Bonso Electronics International. Inc covenants and undertakes that it will at
all times ensure to maintain its gearing below 1.

   "Gearing means the ratio of "Total Interest Bearing Debt" to "Tangible Net
   Worth plus Non-Redeemable Preference Shares and Minority Interest".

   "Tangible Net Worth" means the aggregate of:-
   -   the amount paid up on the issued share capital (other than any redeemable
       share capital; and
   -   the capital and revenue reserves (including but not limited to the share
       premium account, revaluation and retained profits or losses);

       but after deducting from such sum:-

   -   goodwill and all other intangible assets;
   -   all minority interests in subsidiaries;
   -   all amounts set aside for tax;.
   -   any dividend or other distribution declared/recommended;
   -   the excess of the book value to the market value of the listed
       investments; and any amount standing to the debit of the your capital and
       reserves (including profit and loss account);
   -   any amount due from the shareholders, directors, and/or related
       companies.

We no longer require the covenant and undertaking from your company to direct to
the Bank Import/Export business of not less than HKD8,000,000.- per month.

Please note that all costs and expenses (including legal fees) incurred by us in
connection with the extension of these facilities and any matters arising are to
be reimbursed by you on demand.

Please arrange for the authorised signatories of your company, in accordance
with the terms of the mandate given to the bank, to sign and return to us the
duplicate copy of this letter to signify your confirmation as to the correctness
of the security held, and your continued understanding and acceptance of the
terms and conditions under which these facilities are granted. We also require
the authorised Bonso Electronics Ltd 12 June 2006

<PAGE>

Bonso Electronics Ltd                                               12 June 2006
--------------------------------------------------------------------------------

signers of Bonso Electronics International Inc to sign on the duplicate copy of
this letter to signify its agreement and acceptance of the covenant undertaken
by it as stated in this offer letter.

A review fee of HKD13,500.- will be charged to the debit of your current account
upon receipt of your acceptance of this facility letter.

Unless expressed in writing from you to the contrary, we may provide any
information relating to any of your accounts with us and any facilities we may
provide to you from time to time or their conduct or any other information
concerning your relationship with us to any other company or office which at the
relevant time belongs to or is part of the HSBC Group.

Section 83 of the Banking Ordinance

         Please note that Section 83 of the Banking Ordinance has imposed on us
         as a bank certain limitations on advances to persons related to our
         directors or employees. In acknowledging this facility letter you
         should advise us whether you are in any way related to any of our
         directors or employees within the meaning of Section 83 and in the
         absence of such advice we will assume that you are not so related. We
         would also ask, should you become so related subsequent to
         acknowledging this facility letter, that you immediately advise us in
         wilting.

               These revised facilities will remain open for acceptance until
               the close of business on 3 July 2006 and if not accepted by that
               date will be deemed to have lapsed.

               We are pleased to be of continued assistance.

               Yours faithfully

               /s/ Tony K F Kong
               -----------------
                   Tony K F Kong
                   Vice President

                                                                     Page 4 or 4

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