The rules for a R200bn govt-backed loan scheme may be relaxed soon – after it fell flat | BISouthAfrica
Government and banks came up with a loan scheme that was supposed to offer R200 billion in funding to help smaller businesses through Covid-19 – on what they thought were great terms.For many businesses the scheme came too late, banks believe; they were either already out of business or had come right without government help.
But exactly what the new terms will be, and what will happen to those who already signed up for such money, remains to be seen. on what seemed to be good terms: six months before repayments begin, and five years after that to pay, at the prime interest rate.But uptake was dismal. By the first week of June only R7 billion worth of loans had been approved, the Banking Association of SA said on Monday, across a total of just 4,800 businesses.
Some of those cannot be solved, such as a late start; many businesses were already out of business, or had made alternative plans for money.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Government’s Covid-19 loan guarantee scheme needs rejiggingResearch firm Intellidex estimates the uptake could be as low as R2bn, or 1%, of its intended target
Read more »
Government’s Covid-19 loan guarantee scheme needs rejiggingResearch firm Intellidex estimates the uptake could be as low as R2bn, or 1%, of its intended target
Read more »
Dexamethasone drug being considered for critical Covid-19 patientsA drug to treat critically ill Covid-19 patients may soon be used in the country. kgmadisa
Read more »
Restaurants, hairdressers to open up as lockdown rules relaxedPresident Cyril Ramaphosa on Wednesday announced that with just over 100 days since the first coronavirus infection in SA, 1,674 people have died but added that several business sectors, including restaurants and hairdressers, will be allowed to open up.
Read more »
ConCourt to rule on rules of private schools in terminating parent contractsThe Constitutional Court will on Wednesday rule on the obligations and duties of independent schools in South Africa. This comes after the Pridwin Preparatory School removed pupils from the independent school when it came into a dispute with the parents.
Read more »
Share incentive schemes can help firms weather Covid stormFiring up employees can help businesses pull through the crisis
Read more »