The Microfinance [MFI] Ireland Loan Fund assists businesses with fewer than ten employees. It provides much-needed funding to help microenterprises meet payments for stock, working capital requirements and other overhead expenses through the provision of low-cost lending facilities.
The MFI COVID-19 Loan Scheme assists businesses which have been impacted negatively by COVID-19 an includes a six-month repayment free moratorium and the equivalent of one-year interest free (subject to terms and conditions), with rates as low as 4.5% for the remaining period of the loan.
The COVID-19 Loan scheme has seen a very strong uptake in recent months, with €17.3 million in loans drawn by 659 businesses up to 24th September 2020.
A further 85 standard MFI loans with a value of €1.2m were drawn from 1st April up to 24th September 2020.
All COVID-19 loans are on six-month repayment holidays with repayments commencing in month 7 post drawdown.
Table – Breakdown of the number COVID-19 loans on payment holiday
Month loans drawn
|
Number of COVID-19 loans drawn
|
Month repayments commence
|
April 2020
|
95
|
October 2020
|
May 2020
|
156
|
November 2020
|
June 2020
|
213
|
December 2020
|
July 2020
|
99
|
January 2021
|
August 2020
|
55
|
February 2021
|
September 2020
|
41
|
March 2021
|
Total
|
659
|
-
|