Economic Impact of the Middle Eastern War: Measures Taken for SMEs

What kind of support is available for small and medium-sized enterprises (SMEs) in light of the economic repercussions of the war in the Middle East and the resulting energy crisis? The Cabinet met this Friday and adopted a series of measures to ensure stability in this sector. Here are the key points:

• Introduction of a Resilience Scheme for SMEs and Continuity of Imports & Exports to provide targeted and time-limited support to affected SMEs, including the maintenance of the current Freight Discount Scheme.

• Implementation of measures to alleviate liquidity constraints and support business continuity, particularly by granting a moratorium period or restructuring loans provided by DBM Ltd and other relevant financial institutions.

• A Loan Scheme for Working Capital through DBM Ltd, enabling SMEs to address their short-term working capital needs, will be reviewed.

• Accelerating the operationalization of VOSTRO account arrangements with India to facilitate the settlement of commercial transactions in local currencies.