Maldives: Pandemic hit cafes, restaurants get $3.1 million in relief loans

The Maldives has disbursed around $3.1 million in the form of relief loans to cafes and restaurants as the industry continues to bear the brunt of the Covid-19 pandemic

Jun 30, 2021
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Maldives (File)

The Maldives has disbursed around $3.1 million in the form of relief loans to cafes and restaurants as the industry continues to bear the brunt of the Covid-19 pandemic. The aim is to provide these businesses with cheaper finances. 

The Covid-19 pandemic, and subsequent months-long restrictions, have severely impacted cafe and restaurant business in the Maldives, making it really hard to sustain their businesses, the Maldives Economic Minister Fayyaz Ismail said. 
 
“One of the biggest challenges facing small and medium enterprises is that they are unable to finance their businesses without putting down large collaterals,” Fayyaz was quoted as saying by Sun news. 

He said a total of 161 cafes and restaurants got loans under the scheme. 

“Bank of Maldives (BML) issued around $1 million in loans to five cafes and restaurants, while SME Development Finance Corporation (SDFC) issued $2.1 million in loans to 156 cafes and restaurants,” he informed.

SME Development Financial Corporations (SDFC), which established in 2019 to support financing has approved close to around $240 million loans to 765 parties to date. And $126 million has already been disbursed,” he said.