Supporting entrepreneurs in overcoming the consequences of COVID-19
- Posted by: test
- Category: Digest
The Ministry of Finance of the Kyrgyz Republic is implementing the Emergency Support to Micro, Small and Medium Entrepreneurs (MSME) Project for a total amount of 100 million USD. The GF will assist in the implementation of the Portfolio Risk Allocation Mechanism Component in the amount of 24 million USD.
In the context of a pandemic that caused difficulties in the economy and social sphere around the world, including in Kyrgyzstan, supporting entrepreneurs, providing them with access to finance, is an urgent task of the government, which has a significant socio-economic effect.
As part of the Portfolio Risk Sharing Mechanism Component, the GF will provide guarantees that will allow the banking system to maintain the current volumes of business lending in the context of the coronavirus pandemic and in the recovery period after it. These measures will provide entrepreneurs with access to sources of financing and thereby allow them to establish business processes, retain sales markets, and strengthen the material, technical and financial situation.
Thanks to the guarantee support of the OJSC “GF”, existing jobs will be supported and new jobs will be created in the regions of Kyrgyzstan, incomes of residents, revenues to local budgets will increase, industrial and agricultural infrastructure will be developed in the districts and regions of the country.