Economic Ministry says that over 700 individuals have applied for the loans issued by the Ministry to start up small and medium sized enterprises.
Speaking to press, Economic Ministry’s GetSet Program Manager Maheel Ali Jaleel reported that the Ministry was in the process of issuing the loans, under the supervision of the select Committee. As such, he said they were in the process of evaluating forms. He added that the evaluation process will be completed by the end of June.
Maheel also noted that compared to the previous year, this year they had received more applications.
The ministry revealed that priority will be given to women, youth and people with special needs. SME loans will be given for businesses in environmental friendly products, businesses in islands outside the greater Male’ region, and businesses with a majority of women, youth and special needs entrepreneurs.
Businesses are eligible for a maximum of MVR 500,000, while companies, partnerships and corporate societies are eligible for a maximum of MVR 1.5 million.
Economic Ministry has set a ceiling for loan rates for the different categories. As such, tourism and transportation category will be granted 20 percent of the MVR 50 million, while agriculture and fisheries category will be granted MVR 7.5 million, which is 15 percent of the total loan amount.
Corporative societies, service sector and waste management category will be granted MVR 5 million each, respectively, while open categories will receive MVR 2.5 million.
Applicants will have a nine-year repayment period for SME loans, with a one-year grace period, according to Economic Ministry. The repayment period for the loans will be decided after considering the loan amount.