Government’s R200bn loan guarantee scheme stutters to its death
Based on present trends, banks expect demand for loans under the scheme to drop even further in the coming months
The once-heralded loan guarantee scheme touted as the cornerstone of the government’s response to the economic fallout from Covid-19 looks set to end with a whimper.
The Banking Association SA (Basa) has reported on the progress made in the R200bn loan guarantee scheme since its launch in May last year. Basa confirmed on Tuesday that R18.3bn in loans has been approved and taken up by small businesses since its launch, an increase of just R12.6m over the past two weeks...