Businesses have started to repay MSME concessional loans – Gounder

Micro, small and medium enterprises have started to repay the MSME concessional loans and according to the Permanent Secretary for Economy, Shiri Gounder they have already collected $300,000 in the last few months.

The government paid around $32 million to 6,000 businesses through MSME concessional loans.

Gounder says these loans were largely to provide working capital support as most businesses had no revenue however they were still incurring expenses during the pandemic.

He says many of these businesses have started to repay their loans.

Gounder revealed this while making submissions to the Parliamentary Standing Committee on Public Accounts on the Management of Unemployment Benefits & Management of Concessional Loan Package to Micro, Small and Medium Enterprises.

Meanwhile, Goundar says a total of $430 million was paid as unemployment benefits to people by the Government during the COVID-19 pandemic while FNPF members withdrew around $180 million from their general accounts.

Gounder says the government released $205 million in the formal sector while $225 million in the informal sector.

Around 114,000 employees in the formal sector were assisted where they either withdrew from their general accounts or their payments were topped up by the government.