Minister of Finance Ibrahim Ameer has stated the aim is to develop SME Development Finance Corporation (SDFC) to have the capacity to issue about USD 26 million in loans per year.
SDFC was established by the current administration as a specialised financial institution providing financial products and ancillary services to Micro, Small and Medium Enterprises (MSMEs) and entrepreneurial start-ups with the primary purpose of easing access to finances.
Speaking while proposing the State Budget 2020, Finance Minister Ameer acknowledged the important role played by private sector and medium sized businesses in boosting the economy.
Therefore, the minister said the aim is to provide increased amounts of loans via SDFC in efforts to develop and empower MSMEs. He expressed plans to establish a fund in SDFC to increase the capacity to provide loans without depending on the state.
The finance minister revealed SDFC have issued loans worth USD 7.769 million so far, adding SDFC received applications amounting to over USD 64.741 million.