Rs. 5,000 Mn to help revive ailing SMEs

The government has decided to provide a loan relief package of Rs.5,000 million to micro, small and medium enterprises (SMEs) and industrialists who are unable to repay bank loans due to the economic crisis and are blacklisted by the Credit Information Bureau.

Accordingly, the government will select 1,000 entrepreneurs and industrialists who owe not more than Rs.5 million to the banks and financial institutions and give them five million rupees each. A grace period of two years for the repayment of this loan and concessions have been made so that it can be repaid at a very low rate of interest.

President Ranil Wickremesinghe, as the Finance Minister, has allocated Rs.20,000 million to revive the collapsed businesses while presenting the budget proposals for this year.

The Finance Ministry and the Industry Ministry will jointly implement this working capital debt relief package by using Rs.5,000 million under the first phase.

For this loan relief package, the preliminary work of selecting entrepreneurs and industrialists who are already running businesses to some extent across the country has already started. The Ceylon Medium and Small National Enterprises Federation Vice President Sashikala Silva requested entrepreneurs who wish to apply for the same should provide information to the Director (Sectoral Development Division) of the Industries Ministry.

She said that the deserving ones will be selected by an independent academic committee by inviting applications to get this loan concession and working to offer this facility to the deserving ones in a more transparent manner.

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