Loan ceiling for SMEs up at RO 20,000
Published: 05:08 PM,Aug 28,2023 | EDITED : 09:08 PM,Aug 28,2023
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Muscat: The Small and Medium Enterprises Development Authority has raised the loan ceiling to RO 20,000 that will enable entrepreneurs to launch and expand their projects locally and abroad. Earlier the limit was RO 5,000. This will further enhance the contribution of small and medium enterprises in the gross domestic product and the development of the national economy.
It also cancelled Article 14 of the previous regulation, allowing flexibility in financing beneficiaries in projects other than those previously funded in accordance with the plans and programmes drawn up by the Authority.
The regulation defines the roles and responsibilities of each of the Small and Medium Enterprises Development Authority and the Oman Development Bank, and defines the conditions that must be met by those applying for financing from entrepreneurs and craftsmen through a dedicated link with the required documents and data attached.
The regulations include the maximum time period for deciding on financing applications, which is 60 days from the date of completing the application. It also defines the grace period for paying the instalments due for financing, the obligations of the beneficiary applying for financing, the mechanism for disbursing the total amount of financing, and the maximum period for disbursing it.
The Authority approved 170 loan requests worth RO 15,777,431 till August 10 this year. The financing approvals were distributed among 4 different programmes – RO11,490,905 for financing industrial and service projects; RO 2,877,000 for contract financing; RO 1,339,526 for working capital and fixed assets financing; and RO 70,000 for financing incubated institutions and business accelerators.
The Governorate of Muscat topped list of approved loans worth RO 4,996,762, followed by Al Batinah North (RO 3,209,869), Al Batinah South (RO 1,667,800), Dhofar (RO 1,280,950), Al Sharqiyah South (RO 1,141,800), Al Dakhiliyah (1,038,000), Al Dhahirah (RO 1,105,250), Al Wusta (RO 258,000), Al Sharqiyah South (RO 414,000), Musandam, (RO 371,000) and Al Buraimi (RO 294,000).
The Small and Medium Enterprises Development Authority launched 7 different financing programmes, namely: the In-Country Value Programme, the Industrial and Service Projects Financing Programme, the Working Capital and Fixed Assets Programme, the Incubated Enterprises and Business Accelerators Financing Programme, and the Handicraft Products, Home and Productive Businesses, and Street Vendors Programme and mobile commercial activities, the contract financing programme, and the financing of small and medium enterprises that have obtained contracts (tenders, purchases, or business opportunities) by subsidiaries of the Oman Investment Authority.
It also cancelled Article 14 of the previous regulation, allowing flexibility in financing beneficiaries in projects other than those previously funded in accordance with the plans and programmes drawn up by the Authority.
The regulation defines the roles and responsibilities of each of the Small and Medium Enterprises Development Authority and the Oman Development Bank, and defines the conditions that must be met by those applying for financing from entrepreneurs and craftsmen through a dedicated link with the required documents and data attached.
The regulations include the maximum time period for deciding on financing applications, which is 60 days from the date of completing the application. It also defines the grace period for paying the instalments due for financing, the obligations of the beneficiary applying for financing, the mechanism for disbursing the total amount of financing, and the maximum period for disbursing it.
The Authority approved 170 loan requests worth RO 15,777,431 till August 10 this year. The financing approvals were distributed among 4 different programmes – RO11,490,905 for financing industrial and service projects; RO 2,877,000 for contract financing; RO 1,339,526 for working capital and fixed assets financing; and RO 70,000 for financing incubated institutions and business accelerators.
The Governorate of Muscat topped list of approved loans worth RO 4,996,762, followed by Al Batinah North (RO 3,209,869), Al Batinah South (RO 1,667,800), Dhofar (RO 1,280,950), Al Sharqiyah South (RO 1,141,800), Al Dakhiliyah (1,038,000), Al Dhahirah (RO 1,105,250), Al Wusta (RO 258,000), Al Sharqiyah South (RO 414,000), Musandam, (RO 371,000) and Al Buraimi (RO 294,000).
The Small and Medium Enterprises Development Authority launched 7 different financing programmes, namely: the In-Country Value Programme, the Industrial and Service Projects Financing Programme, the Working Capital and Fixed Assets Programme, the Incubated Enterprises and Business Accelerators Financing Programme, and the Handicraft Products, Home and Productive Businesses, and Street Vendors Programme and mobile commercial activities, the contract financing programme, and the financing of small and medium enterprises that have obtained contracts (tenders, purchases, or business opportunities) by subsidiaries of the Oman Investment Authority.