GUARANTEE SCHEME
Business support loans fall short of already low bar
Previous undertakings by President Cyril Ramaphosa to boost take-up haven't delivered, with just a fraction of intended R200bn extended to small enterprises
03 February 2021 - 19:41
The loan guarantee scheme that was touted as a major intervention by President Cyril Ramaphosa to arrest the economic damage wrought by hard lockdowns looks set to miss even its own downgraded targets, with just under 9% of its original R200bn allocated to struggling businesses.
Despite the government using the total figure as a key component of its stimulus, accounting for 40% of the R500bn cited by Ramaphosa, Banking Association SA (Basa) data showed that by January 16 small businesses had received just R17.84bn...
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