Ministry of Finance has revealed over USD 58 million have been disbursed as relief loans for businesses under the COVID-19 Recovery Loan Scheme.
As part of the economic relief packages introduced by the government due to the COVID-19 pandemic, Bank of Maldives (BML) and SME Development Finance Corporation (SDFC) have been providing relief loans for businesses affected by the pandemic. BML issues loans for large businesses while SDFC have been providing loans for small and medium enterprises (SMEs) and freelance workers.
As per the statistics of the finance ministry, BML has issued loans amounting to USD 41.4 million for 367 businesses as of September 3. The statistics show that 562 businesses applied for the loans, of which 397 applications have been approved.
Meanwhile, SDFC has issued relief loans worth USD 17.4 million to 1,640 individuals and businesses affected by the COVID-19 pandemic. This includes USD 16.4 million to 1,142 SMEs and USD 973,000 to 498 freelance workers.
Loans under the COVID-19 Recovery Loan Scheme are issued at an interest rate of 6%, with a repayment period of up to 3 years and a grace period of up to 6 months.