Tourism-related small and medium-sized enterprises (SMEs) can now apply for loans at Myanmar Tourism Bank (MTB) through the 11 associations under the Myanmar Tourism Federation (MTF) as collateral and insurance, according to the MTB Head Office. There are 11 associations in Myanmar tourism industry in the pandemic period. The Memoranda of Understanding (MOUs) were signed between the team in each sector. The working processes are being taken step by step to provide the loans to SMEs under these associations.
The MTB Head Office has a loan department. SME businesses can directly contact the MTB’s loan department. Now, the department is also providing loans to the team’s small businesses. However, it is more convenient to reach MTB through the relevant associations. The department again postponed the interest payment period and deferred the repayment dates during the pandemic period. When the tourism businesses resume in the aftermath of COVID-19, the department will provide more loans to the SME businesses, said the MTB deputy managing director.
MTF has 11 associations related to the tourism sector, including souvenir sale shops, hotel associations, and restaurant shops. MTB is providing loans to SME businesses under these 11 associations starting from last year. MTB firstly offered K 20 million loans to SMEs without the collaterals. The loans will be provided depending upon the collateral application. Under the Central Bank of Myanmar, the interest claiming period will be postponed in the pandemic period. At present, the loan interest rate of MTB is 10 per cent. MTB Head Office was opened on Pyay Road, Kamayut Township, Yangon. According to MTB Head Office, the bank has already been opened up to six branches across the country.
Source: The Global New Light of Myanmar