Yangon—Plan is underway to grant a loan of around Ks 5,000 million to more than 110 COVID-19 affected businesses in the second batch, said U Aung Naing Oo, Permanent Secretary of the Ministry of Investment and Foreign Economic Relations.
“In the first batch, the government loaned over Ks 5,800 million to 88 businesses,” said U Aung Naing Oo who is also secretary of the committee to remedy the possible economic impacts caused by COVID-19.
The total loan amount for the first and second batches will be Ks over 10 billion. There is a fund of Ks90 billion left as the proposed fund is Ks100 billion, he added.
With the approval of the Union government, a Ks 100-billion loan fund is set up with the contribution of Ks50 billion from the State revolving fund and Ks50 billion from the social security fund.
Ministry of Planning, Finance and Industry will grant loans to CMP industries, hotel and tourism and SMEs at an interest rate of one per cent and with one-year repayment period. The interest rate and repayment period will be reviewed if necessary.
Till the end of 2019-2020 fiscal year, the export and import businesses will be exempt from the collection of 2 per cent advance income tax.
In addition, the ministry has extended the collection of income taxes and commercial taxes for CMP, hotel and tourism and SMEs to 30 September this year.
