[ad_1]
The government has moved at top speed to provide aid to small businesses and municipalities with two major Treasury announcements.
FILE: The loan guarantee scheme is an initiative to provide funds to companies with an annual turnover of less than R300 million to cover some of their expenses. Image: 123rf.
JOHANNESBURG – Thousands of small businesses are expected to turn to their banks for help after the Treasury activated its loan guarantee scheme.
The government has moved at top speed to assist small businesses and municipalities with two major Treasury announcements on Tuesday.
The loan guarantee scheme is an initiative to provide funds to companies with an annual turnover of less than R300 million to cover some of their expenses.
Businesses must approach their banks to request access to money.
The funds loaned through this scheme can be used for operating expenses such as wages, rental and leasing contracts, and supplier contracts.
This was one of the two main government announcements.
More than R5 billion has also been made available in support of municipalities to help them respond to the COVID-19 pandemic in fiscal year 2019/20.
This support aims to help municipalities provide additional access to basic services for vulnerable communities and to disinfect public transportation facilities.
[ad_2]
