Economy, Business And Markets

SME Bank Planned

SME Bank Planned SME Bank Planned

A development bank for small and medium enterprises will be established within two years, officials said.  Gholamreza Soleimani, deputy head of Small Industries and Industrial Parks , said a development bank would solve many of the problems besetting small businesses. “Some 70% of small business’s problems are monetary and specialized banks have been created all over the world to help them stay afloat,” Soleimani said.  Many small businesses are indebted to commercial lenders and therefore cannot get new loans. The creation of a dedicated SME bank will increase their access to funds. SME banks will also help startups by easing collateral rules in undeveloped areas and offering long-term loans with interest rates as low as 2.5%, Banker website reported.