Financial lifeline loan package remains in place to assist severely impacted small and medium-sized businesses in Fiji - RBF

The Reserve Bank of Fiji confirms that the financial lifeline loan package remains in place to assist severely impacted small and medium-sized businesses in Fiji.

Fijivillage has received confirmation that under the three facilities combined, more than $300 million has been lent out to businesses to date.

Following the COVID-19 Response National Budget, the RBF says it is continuing to support local businesses by granting access to emergency funding to help keep them and the Fijians they employ, operating through this difficult period.

The Reserve Bank offers three facilities targeted to Small and Medium Enterprises through the SME Credit Guarantee Scheme; Import Substitution and Export Finance Facility; and Disaster, Rehabilitation and Containment Facility.

An SME is defined as either an enterprise with a turnover between $30,000 to $500,000 or an enterprise that employs fewer than 50 workers.

RBF says people in these categories are eligible for the relief.

Those looking to start a new SME can also take advantage of these facilities by applying through relevant lending institutions for assistance.

Small and Medium Enterprises may access these funds through an application to a commercial bank, licensed credit institution or the Fiji Development Bank.

Funding will be subject to each individual bank’s normal credit criteria.

The RBF says the funding will range from $10,000 up to $500,000, depending on the SME’s requirements.

The Reserve Bank says loans above $500,000 can be considered under special circumstances.

The SME Credit Guarantee Scheme will cover 50 per cent of the principal amount outstanding on defaulted SME loans, up to a maximum of $50,000 per individual business.

Latest financial statements for your business from a certified accountant; Tax compliance certificate/letter; Business registration certificate; Business plan and cashflow projections; and an application to a commercial bank, licensed credit institution, or FDB stating the level of funding sought and the rationale supporting your request are needed.

The Fiji Chamber of Commerce has also been asked by the RBF to assist potential clients with their cashflow statements.