SBP urged to direct banks for extending support to SME sector
UNISAME President said SBP has come up with friendly supportive schemes
PESHAWAR (Dunya News) – The Union of Small and Medium Enterprises (UNISAME) has urged the State Bank of Pakistan (SBP) to direct commercial banks to financially accommodate the SME sector in view of the tough times faced by it under lockdown and global recession due to coronavirus.
According to a statement issued on Friday, the President of UNISAME Zulfikar Thaver said the SBP has come up with friendly supportive schemes and announced especially subsidized rates, but the commercial banks were not feeling comfortable and not financing the SME units without collateral.
He said it was pertinent to note that the funds were provided by SBP but the risk was of the commercial banks that were not inclined to take the risk and insist on collateral.
He said that UNISAME experts have urged the banks to consider the acceptance of guarantees, goods in transit, inventory and indemnified contracts from reputable buyers as collateral.
They said it was high time the banks look at other collateral instead of immovable properties to finance and facilitate the sector on modern lines.
