BML issues MVR one billion in loans during Covid-19 crisis

Bank of Maldives has issued a total of MVR 1.2 billion in loans during the ongoing Covid-19 pandemic thus far.

Speaking to media through a virtual meeting to provide information on efforts to support the steady improvement of the country’s economy which was hit hard by the pandemic, CEO and Managing Director of the country’s national bank, Tim Sawyer stated that they have introduced a short-term financing facility to help the country’s tourism sector overcome the challenging faced due to the virus.

Through the facility, BML finances up to USD two million to tourist resorts and local guesthouses, which are facing major struggles due to the impacts of the pandemic.

By August, the bank had issued USD 4.57 million and MVR 125.29 million as well as MVR 400 million as business working capital.

BML is also providing support to the country’s recovery scheme fund initiated by the Ministry of Finance pertaining to the Covid-19 outbreak.

The bank has also introduced debt moratoriums for customers with business loans, from the beginning of March until the end of the ongoing month.

The only requirement is for customers to have cleared overdue loan payments.

The debt moratorium will allow customers to defer monthly principal and interest repayments for six months. The tenor of the loan will also be extended by six months allowing more time to repay the accrued interest and principal repayments. Following the moratorium period, the repayment amount will be reduced by 20 percent for another six month period.