| 49. |
One
of the problems that SMEs face is access to
financing. Last year we piloted the Loan Insurance
Scheme (LIS) with 6 participating financial
institutions (PFIs). Under the scheme, the
Government shares the cost of the insurance
premium against loan default. The scheme has
been well received and has helped many SMEs.
To date, the scheme has helped to insure $16
million worth of loans. We will launch a second
tranche of LIS. This will involve more financial
institutions and is expected to facilitate
about $500 million in loans to SMEs over 5
years. It will cost the Government $8 million. |
| |
|
