Interest-free loans could be granted to some small and medium-sized enterprises in Dubai that were hit by record rains last week, it was announced on Saturday.

This new initiative for Emiratis was launched by the Mohammed Bin Rashid Establishment for Small and Medium Enterprises Development (Dubai SME), a subsidiary of the Dubai Department of Economy and Tourism (DET).

Under the programme, Emiratis who own SMEs could also get deferrals and grace periods for existing loans.

This initiative is aimed at further enhancing recovery efforts that are underway to support and stabilise businesses affected by the adverse weather conditions experienced in the UAE recently.

Earlier, the UAE Central Bank also said that local banks may defer personal loan instalments for residents who were affected by the recent heavy rains.

The special incentive for Dubai SME members allows eligible companies to obtain interest-free loans of a maximum of Dh300,000 with a grace period of 6 to 12 months, giving them enough time to repair or replace damaged properties necessary for the smooth operation of their respective businesses.

This highlights the Fund’s determination to stand by the affected SMEs to overcome the challenges, further consolidating the role Dubai SME plays in supporting economic sustainability within the SME community.

Abdul Baset Al Janahi, CEO of Dubai SME said they are collaborating with partners to explore ways of mitigating the effects of the recent weather conditions that have impacted the country, facilitating a swift recovery.

Affected Dubai SME members can provide the required documents to the Fund’s designated relief financing committee via the website of Mohammed bin Rashid Fund for SME www.thefund.ae or contact the customer service centre on 600 555 559.

Culled from Khaleej Times