Covid Losses of Businesses Hit $12b

Businesses affiliated to Iran Chamber of Guilds have suffered as much as 3,000 trillion rials ($12 billion) in losses since the beginning of the coronavirus pandemic, Mohammad Baqer Mojtabaie, the general secretary of the chamber, said.
“However, only 7% of them applied for the loans backed by the government under the Covid-19 relief program during the first quarter of last fiscal year [March 20-June 20, 2020],” he was quoted as saying by ISNA.
Noting that the loan volume was negligible, with about 120-160 million rials ($480-$640) for each worker and a maximum of three workers per enterprise, Mojtabaie said, “The 12% lending rate was another reason behind the lukewarm reception toward the government’s relief program. Given that the benchmark interest rate in Iran is at 18%, business owners believe that the government’s 6% interest rate subsidy is not worth the cumbersome application process and length of time it takes to receive the credit.”