Minister for Economy Aiyaz Sayed-Khaiyum.

Close to 9000 applications have been received under the COVID-19 Concessional Finance Support Packages.

This support package has been designed to help aid Fijian-owned Micro, Small, and Medium Enterprises and businesses who are struggling with the effects of COVID-19.

Minister for Economy Aiyaz Sayed-Khaiyum says these are highly-targeted loans which will ease the financial burden on enterprises until the Fijian economy makes its recovery.

While speaking at the Fiji Commerce and Employers Federation’s Symposium on the “New Normal” Fiji Economic Recovery, the Economy Minister highlighted that these businesses borrowing at extremely concessionary terms can immediately put funds to work readying their businesses for the day their revenues return.

He adds these applications are currently being processed by the working committee.

“We got the Ministry of Agriculture and Ministry of Commerce working together with them to process the application, it’s going to be a payout of about $60m on a conservative level. That’s going to be the amount of money being injected into the economy. There are a couple of small-medium enterprises that will get some working capital, there are some people
who have existing micro-enterprise they will get cash flow and some new ones are coming to play.”

Under the package, micro-enterprises with annual gross revenue of up to $50,000 can get a loan of $7,000 at a concessional rate of 0.5%.

Small enterprises earning up to $300,000 can apply for $14,000 with an interest rate of 1%.

Medium enterprises that make from $300,000 to $1.25 million a year are eligible for up to $21,000 at a concessional interest rate of 1.5%.

The repayment term is five years, with no mandatory payments for the first 12 months.