The COVID-19 pandemic has taken the world by storm. The likely consequences on the Maltese economy cannot be overlooked and amongst the sectors particularly at risk are the hospitality and related industries most directly impacted by shifts in tourism. To date, two of Malta’s leading banks have launched programmes to help support the local business community.
HSBC is offering different measures to stabilise this financial turmoil such as:
- Short term on the capital repayment concessions whilst still paying the interest repayments;
- Temporary free short –term funding to facilitate any cash flow problems in the business;
- In instances were individuals are experiencing any delays in receiving shipped documents from the sender then HSBC will provide a ‘shipping guarantee’ which gives priority to the documents in transit. Any associated ‘urgency fees’ will be waived off by the bank;
- Additionally, any amendment fees with respect to late shipments and documentations will also be waived off by the bank. HSBC will be permitting customers to amend the terms on the Letter of Credit to avoid any penalties.
BOV will be contributing €10 million in assistance to its customers which will include:
- Concession of capital repayments for a period between 3 – 12 months;
- Facilitating trade finances through the internet banking, waiving off any fees;
- Provision of financing to assist any short comings in the businesses’ cash flow. This direct working capital will be provided for a period of not more than 6 months at a rate of 3.5% repayable over a full year without any charges. Each case will be analysed individually and a customer may not receive more than €500,000 worth of assistance.
CSA Group will be offering assistance to any business in need of any financial aid.