The Yangon Region government will establish a small and medium enterprises (SME) data centre and provide loans to 100 selected entrepreneurs, said U Myint Thaung, Yangon Region Minister for Planning and Finance.
He was replying to a question on how the Yangon Region provides financial assistance to enhance SMEs, raised by Daw Mya Hla San of Kyauktada Township constituency 2 during the sixth regular session of the second Yangon Region Hluttaw held on 14 May .
The Yangon Region government is carrying out ground surveys of SMEs and issuing them with cards to facilitate loans. The ground surveys have been completed, and some 29,659 enterprises have received smart cards in 41 townships in the Yangon Region, as of 7 May, said U Myint Thaung.
Following the ground surveys, we will select some 100 potential entrepreneurs initially and offer them loans.
Additionally, the Yangon region SME development agency and the Yangon Region credit assessment committee were formed under the guidance of the SME Development Committee, U Myint Thaung said.
Currently, the Department of Small and Medium Enterprise Development is endeavouring to provide SME businessmen access to Ks20 million without collateral linking with the CB bank. The Yangon Region Assessment Department is offering Ks50,000 to Ks10 million at a monthly interest rate of 2.5 per cent of the total loan to low-income people, retail shops and small businesses engaged in the agriculture, livestock, industry and the manufacturing sectors.
Moreover, the Yangon City Bank Ltd is also providing loans to businesses depending on the value of the collateral at an annual interest rate of 13 per cent, he added.
The Yangon Region is cooperating with state-owned banks, private banks and other related departments, as well as local and foreign organisations, to facilitate the development of small and medium enterprises, he added.
By Nyein Nyein