Myanmar government’s stimulus package benefit 1,000 enterprises in three months

The government of Myanmar has launched its economic stimulus packages to help survive the local enterprises in the face of harsh economic uncertainties caused by the COVID-19 pandemic.

On April 27, it announced an economic relief plan: ‘Overcoming as One: Covid-19 Economic Relief Plan’

However, it has granted credit to a total of 1,016 local enterprises between April 9 and June 2 using Covid-19 Funds, according to the Working Committee to Address the Possible Economic Impacts of COVID-19.

The Myanmar Economic Bank, a state-owned bank, granted loans to local enterprises batch by batch.

It provided a total of K5.6968 billion to 85 enterprises in the first batch, K4.495 billion to 113 enterprises in the second batch, K3.5366 billion in the third batch, K15.079 billion to 417 enterprises in the fourth batch, and K8.7335 billion to 290 enterprises in the fifth batch.

The government allocated K100 billion-K50 billion from the state budget and 50 billion from social welfare funds- to provide loans to CMP businesses, hotels and tour companies, and SMEs at the annual interest rate of 1 percent. The loan-term is one year and companies can apply for the loan online.

However, the companies that are facing a lawsuit from a bank are not eligible for the loans.
The Working Committee to Address the Possible Economic Impacts of COVID-19, chaired by U Thaung Tun, Union Minister of the Ministry of Investment and Foreign Economic Relations, was formed on March 13.

(Myanmar Business Today: https://mmbiztoday.com/govt-stimulus-package-benefit-over-1000-enterprises/ )

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