Development

Loans totaling MVR 24 million issued to SMEs

Small and Medium Scale Enterprises (SMEs) have been issued with loans totaling to MVR 24 million under the Credit Guarantee Scheme.

The Credit Guarantee Scheme was formed by Maldives Monetary Authority (MMA), the Central Bank of Maldives. Under this scheme, applicants are not required to keep a mortgage and is charged a fairly small interest rate. MMA has setup a fund to provide credit to SMEs under the Small and Medium Scale Enterprises Act, along with a guarantee scheme for loans obtained from commercial banks.

Addressing a press conference organized by the Ministry of Economic Development, the Managing Director of Business Center Corporation (BCC), Ahmed Mumthaaz stated that 43 applicants have been issued with loans totaling to MVR 24 million. MMA has stated that, when selecting applicants, importance will be given to organizations in the tourism, fisheries, agriculture, travel and construction sectors.

This scheme has a borrowing ceiling between MVR 100,000  and one million, with a repayment period of five years.