SMEs whose turnover dropped 25% in 2020 to be able to benefit from Treasury’s loan package
The Ministry of Treasury and Finance announced a new supportive loan package for small and medium-sized enterprises (SMEs) in the country, whose turnover dropped 25% in 2020.
The Treasury, with the cooperation of the Union of Chambers and Commodity Exchanges of Turkey (TOBB) and the Credit Guarantee Fund (KGF), will provide loans, named Breath Credit, to SMEs.
Each SME, with annual turnover below TRY 1m (USD 118,371), will be eligible to receive up to TRY 50,000 (USD 5,918), while SMEs with annual turnover below TRY 10m (USD 1.18m) can benefit from the loan package of up to TRY 200,000 (USD 23,674).
The annual interest rate of the 12-month loans will be 17.5%, with the option of six-month payment-free period.
Loans would be guaranteed by KGF, according to the Treasury’s statement.
The package will become effective as of June 1, 2021.
Last year, pandemic measures such as lockdowns and travel bans hit several economic activities.