Small business loan demand climbs
The Micro Investment Development Agency (MIDA) has reported that a total of $147.6 million in loans has been disbursed by the agency during the 2004 calendar year.
But this figure represents a decline of $67.4 million for the corresponding 2003 period.
Managing director of MIDA Vivian Chin said in an interview with Sunday Finance that since 1977/78, the organisation has depended on loan repayments to remain a viable lender.
The standard repayment period for loans is 18 months which, he suggested, was too short a period for proper loan servicing, resulting in a poor turnover. MIDA operates as a revolving fund, meaning that if repayments are lagging, the loans the fund can make are curtailed.
Read More...
The Micro Investment Development Agency (MIDA) has reported that a total of $147.6 million in loans has been disbursed by the agency during the 2004 calendar year.
But this figure represents a decline of $67.4 million for the corresponding 2003 period.
Managing director of MIDA Vivian Chin said in an interview with Sunday Finance that since 1977/78, the organisation has depended on loan repayments to remain a viable lender.
The standard repayment period for loans is 18 months which, he suggested, was too short a period for proper loan servicing, resulting in a poor turnover. MIDA operates as a revolving fund, meaning that if repayments are lagging, the loans the fund can make are curtailed.
Read More...
posted by Mohd Amin | 5:58 PM
0 Comments:
Post a Comment
<< Home