By unusuma.lk on (LK time)
The government has designed a relief package to provide relief to local SMEs who are facing difficulties in repaying loans.
This relief package has been prepared with a long-term vision to provide relief to the businesses of affected SMEs while ensuring the stability of the banking sector, in collaboration with the Central Bank of Sri Lanka, the Sri Lanka Banks Association, representatives of the SME sector, and other relevant government institutions.
Accordingly, if the SMEs that have obtained a loan facility from a licensed bank and are classified under the Stage 3 (non-performing loans) category on or after 2019.04.01, along with all the necessary documents, initiate discussions with the relevant concessional banking unit on or before 2025.03.31, those SMEs will be eligible for inclusion in the proposed concessional package.
During the period from 2019.04.01 to 2024.09.30, banks have classified about 494,000 loans worth about Rs. 886 billion under the Stage 3 loan category (non-performing loans), and 99% of them have been classified as less than Rs. 25 million loans.
Taking all these factors into consideration, the government has planned a relief package to provide relief to small and medium-sized enterprises that have faced difficulties in repaying loans due to the adverse effects experienced in the past.
