Maldives have introduced new loan scheme focused to promote farming.
Every individual active in the farming industry can apply for the loan scheme, issued from the SME Bank, according to Ministry of Fisheries, Marine Resource and Agriculture. Loans issued under the scheme varies between USD 4,852 and up to USD 129,400.
Urban agriculture, protected agriculture, terrace or vertical gardening, poultry and domestication of small animals, value edition, agroforestry, and planting nurseries are expected to be established with the aid of technology, and all individuals interested in the aforementioned fields would be given higher priority.
Moreover, if an individual seeking a loan, up to USD 32,350 will be provided while cooperatives or companies can gain up to USD 129,400. The loan is allocated with an interest rate of 6 percent while land, houses, vessel and machinery are accepted as mortgage. Individuals are granted a grace period of 6 months and payment period of 5 years and corporative or companies are granted a grace period of 7 years with a payment period of 1 year.
The fisheries ministry revealed the aim of the loan programme is to promote farming in Maldives to strengthen as a tool to support the economy.