Singapore Financial Fraternity Extends Support For Individuals, SMEs

By Massita Ahmad SINGAPORE, Oct 6 (Bernama) -- Singapore financial fraternity has announced an extension of support measures to help individuals and small and medium enterprises (SMEs) facing cash flow difficulties transition gradually to full loan repayments. “These extended measures will progressively expire over 2021,” the Monetary Authority of Singapore (MAS), the Association of Banks in Singapore (ABS) and the Finance Houses Association of Singapore (FHAS) said in a joint statement here Monday. According to the statement, since April this year, banks and finance companies have been providing payment deferrals for individuals and SMEs facing short-term challenges in servicing their loan instalments. It said the various relief measures have helped ease cash flow pressures faced by these individuals and SMEs and are set to expire by Dec 31, 2020. The statement said as economic activities continue to open up, borrowers, who are able to resume paying their loan instalments in full, should start doing so from Jan 1, 2021, as further postponement would increase their overall debt. However, it said MAS and the financial industry recognised that many individuals and businesses would continue to experience cash flow pressures into early 2021. "The extended support measures will give such individuals and businesses currently under loan repayment deferrals more time to resume repayments. "The support measures will also be available to borrowers previously not under any payment deferral, but who are now facing cash flow challenges," it added. -- BERNAMA