Two of Australia’s largest banks have put their money into Covid relief, instituting a political decision aimed at boosting the SME sector.
The CBA and NAB have made major policy changes that should provide a lifeline for struggling small businesses.
NAB has launched a new loan for SMEs, which will allow them to receive up to $ 2 million in financing over 30 years. The loans will allow applicants to self-disclose their financial information.
“Small businesses are the life blood of the Australian economy,” said Ana Marinkovic, small business executive at NAB.
“As Australia’s largest commercial bank, we have supported companies for 160 years to ensure they have the funds they need to grow and prosper.”
“We are determined to help Australia recover from the pandemic and support businesses across the country to invest.”
“The faster business loans make it easier for the busy small business owner looking for a quick decision. The terms of the loan offer them the possibility to make a pragmatic decision between paying the rent or buying and owning their facilities. “
Meanwhile, CBA announced that it has financed close to $ 2 billion in SME loans under the SME Recovery Loan Scheme (SMERLS), with 20,000 companies supported.
The plan is designed to help SMEs overcome the pandemic and is open to those with a turnover of less than $ 250 million, with up to $ 5 million per SME available and supported by the federal government.
“The impacts of the pandemic have been very varied for different businesses and different sectors, many require access to credit to help them during this period, and some are seeking additional capital to grow, invest and expand through the recovery,” said Clare Morgan. . executive general manager, business loans at CBA.
“The expansion of SMERLS is an excellent initiative to ensure that more companies can access commercial loans at low rates and on flexible terms.”
“We plan to play a leadership role in the Expanded Recovery Loan Scheme for SMEs, as we have done throughout the various phases of the scheme, and we encourage companies to talk to us about what might be suitable for them. your business needs. “