COVID-19 Recovery Loan Scheme For SMEs

As part of the economic relief package pertaining to the COVID-19 outbreak, The Ministry of Finance has also partnered with the SME Development Finance Corporation (SDFC) to administer the COVID-19 Recovery Scheme targeted towards SMEs and self-employed/ freelance individuals.

The scheme is implemented via the COVID-19 Viyafaari Ehee loan product by SDFC. It is targeted towards SMEs (with annual turnover of less than MVR 10 million in 2019) facing difficulties in meeting their current operational requirements due to the ongoing pandemic.

Eligible SMEs may apply for loans up to 10% of its annual sales turnover for the past year (capped up to MVR 500,000) at 6% interest per annum for a 3-year period. The repayment period excludes the grace period up to 6 months in which no interest is charged. Funding is contingent on SMEs not laying off local employees due to the COVID-19 outbreak and during the funding period.


COVID-19 SDFC Loan Applications

(in millions of MVR)
Data: 01 April 2021
Businesses Self-employed Total
  Count MVR Count MVR Count MVR
Total Received 2,033 574.7 2,053 52.5 4,086 627.2
Total Approved 1,519 360.5 685 20.5 2,204 381
Total Rejected 79 21 626 18.3 705 39.3
Total Sanctioned 1,519 360.6 685 20.5 2,204 381.1
Total Disbursed 1,453 341.5 661 19.8 2,114s 361.3t

COVID-19 SDFC Loan Applications by Sector

(in millions of MVR)
Total Received Total Approved
  Count Requested MVR Count Approved MVR
Total 4,086 627.2 2,204 381
Agriculture 29 4.8 14 2.2
Commerce 1,091 298.2 845 201
Construction 297 99.5 204 59.4
Fishing 40 10.7 22 4.1
Manufacturing 151 35.8 116 18.6
Tourism 320 96 238 55.3
Transport 105 29.7 80 19.9
Self Employed 2,053 52.5 685 20.5

COVID-19 SDFC Loan Applications Made by Females

(in millions of MVR)
Total Received Total Approved
  Count MVR Count MVR
Total 947 183.6 576 117.4
Businesses 576 174 445 113.5
Self-employed 371 9.6 131 3.9