YANGON: Yangon Region has the largest amount of Covid loans and largest amount of outstanding repayments, and those who have borrowed need to repay their loans by March 2026, said Yangon Region Chief Minister U Soe Thein.
He spoke at a Myanmar Federation of Chambers of Commerce and Industry meeting here to ensure the fastest possible recovery of loans from companies and entrepreneurs who took loans of two hundred thousand kyats or more from the Covid-19 fund.
U Soe Thein said Yangon Region had taken out the most loans and that the region had the most outstanding repayments.
"Since they are responsible for repayment, the loans are to be paid in three instalments and by March 2026. Rather than taking management measures or action against companies or enterprises that have outstanding repayments, I want entrepreneurs to repay the state money with a sense of responsibility," he said.
U Aye Win, chairman of the Federation of Myanmar Chambers of Commerce and Industry, said the borrowers must look at ways of repaying the loans as soon as possible.
Businessmen in attendance, who had taken out loans, discussed the matter while officials reviewed and held further discussions with them.
With the approval of the Union Government, the Covid-19 Fund was established at Myanmar Economic Bank with an initial capital of 50 billion kyats from the State Revolving Fund and 50 billion kyats from the Social Security Fund, totaling 100 billion kyats.
The fund provided loans at an interest rate of one per cent and a loan period of one year to Myanmar-owned CMP businesses, hotels and tourism businesses, and small and medium-sized enterprises that have suffered the most economic impact from Covid-19.
The interest rate and loan period were reviewed as necessary depending on the economic impact.
Subsequently, loans were also provided to the state-owned fish and shrimp farming, livestock sector, film and media sectors, etc., whose economies were affected by Covid-19. - Eleven Media/ANN
