Myanmar Economic Bank granted loans to rubber processing plants in Mon State in order to produce higher quality rubber

Myanmar Economic Bank has granted loans to rubber processing plants in Mon State, in line with the recommendation from the Mon State Government, according to Rubber Entrepreneur Association.

The bank has formed a committee for loans in order to provide financial services to rubber processing plants so that they can produce higher quality rubber.

“Loans are granted depending on the plants. Around 30 enterprises have applied for loans, and ten of them have received loans. The rest will get loans if they meet the requirements,’’ said Ko Chan Aye Aung, Joint Secretary of the association.

To obtain loans, enterprises must provide land ownership certificates, assets, and machine power; the bank will provide loans after scrutinizing the submitted facts, he added.

The amount of loans will vary depending on the size of the enterprises; from K20 million to K300 million. The committee, chaired by U Wunna Kyaw Lwin, the State Minister of the Ministry of Planning and Finance, does not issues recommendations to plants that are not operating, do not need funds, or have a dispute on ownership.

The plants that have applied for loans include three rubber processing plants in Thahton Township, two in Paung Township, two in Chaungsone Township, one in Mawlamying Township and Mudon Township, fifteen in Kyaikmayaw Township, and three in Thanphyuzyat Township and Yay Township.

There is a total of 500,000 acres of rubber plantations in Mon State, which produce over 100,000 tons annually from 300,000 acres of rubber plantations, while the remaining 200,000 acres are in the early stages of growth. After expansion of the production factory, all the factories in Mon Sate are estimated to produce up to 30 tons of rubber daily.

(Myanmar Business Today: https://www.mmbiztoday.com/articles/myanmar-economic-bank-grants-loans-mon-state-rubber-processing-plants )

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