Ministry of Finance has revealed SME Development Finance Corporation (SDFC) has disbursed loans for 1,427 small and medium-sized enterprises (SMEs) under the COVID-19 Recovery Loan Scheme introduced by the government to assist local businesses affected by the COVID-19 pandemic.
The statistics of the finance ministry showed SDFC released USD 12.86 million to 1,427 SMEs by the end of July 27. The ministry revealed 2,983 applicants sought loans from SDFC although 1,711 applications were approved.
SDFC said most applications were received from retail business owners and sole proprietors. In this regard, 658 retail businesses were provided with loans amounting to over USD 10.1 million and 494 sole proprietors were released loans amounting to USD 954,706.
The government introduced an economic relief package to prevent local businesses from going bankrupt amid the COVID-19 pandemic. The relief loans are provided through SDFC and the Bank of Maldives (BML).
The statistics by the Finance Ministry show that 1,427 individuals were issued loans up until July 27. This is out of 2,983 applicants. Due to various reasons, 432 applications were also rejected.
A total of 219 SMEs in the tourism industry were issued loans worth MVR 50.4 million while MVR 18.2 million in loans were issued to 71 businesses involved in the transport sector.
A total of 11 businesses operating in agriculture were also issued loans worth MVR 1.7 million while 152 businesses involved in the construction industry were issued loans of MVR 40.6 million. 18 businesses from the fisheries sector were also issued loans of MVR 3.2 million while 86 businesses in the manufacturing industry were issued loans of MVR 16.1 million.
Ministry statistics show that 151 female freelancers were also issued loans of MVR 1.4 million while 159 businesses run by women were also issued loans of MVR 28.3 million.