Only four businesses in the food service industry received the relief loans aimed at economic recovery from COVID-19 by the government, Restaurant Association of Maldives (RAM) said yesterday.
A member of RAM, Hussain Ismail, said in a press conference held by the association that the government was introducing these loans without any proper plans. He said he was concerned that the government had not set aside quota of loans for the food service industry.
He said that the government works with the banks to issue these loans, and they are conventional loans. He said many companies are already in debt and these loans will drive them further into debt.
"I request that [the government] discusses such issues with us before they go ahead with introducing such schemes with us," Hussain had said.
He had said in the past 18 months, a number of restaurants had to close due to bankruptcy. Many restaurants suffer a loss of as much as 90 percent, working with the COVID-19 restrictions guidelines set by Health Protection Agency (HPA).
The government had run multiple schemes aimed at economic recovery since last year. According to Finance Ministry, 1.7 billion Rufiyaa has been issued as loans aimed at businesses so far.
RAM says the food services industry requires government aid to be able to overcome the obstacles they face at the moment.
Greater Male' Area was put in lockdown on May 26, and restrictions have been loosened little by little over time. However, dining in from restaurants and cafe's are still not allowed, and services are allowed till 6:00 pm everyday.
RAM plans to protests against the set restrictions today at 4:00 pm infront of the Carnival stage area.
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