Africa-Press – Eswatini. Mathokoza Sikhondze, the Coordinator of the Coalition of Informal Economy Associations(CIEAS) has come hard on Government for offering loans to struggling vendors who were affected by the Manzini Bus Rank fire.
This comes after Manqoba Khumalo,the Minister of Commerce announced that Government would offer loans amounting to five thousand Rands(R5000.00) to over 400 Informal Traders who had their stock burnt by a mysterious fire.
The fire erupted at a storeroom in the Manzini Bus Rank about two(2)weeks ago.
Speaking to the press on Friday, the CIEAS Coordinator said the loans would push the vendors deeper into poverty.
“As we speak these vendors are struggling to sustain their families with the little they are making. How are they going to pay for these loans within 12 months?.Some of them don’t even qualify for loans due to their bad credit records or poor cash flow. Government should instead provide a seed capital instead of these loans”, he said
In a statement released on Friday, Mancoba Khumalo, the Minister of Commerce, Industry and Trade said Government has offered loans amounting to R 5000.00 via FINCORP so that the businesses could restart their operations.
“The business loan will be repayable over a 12 month period at an interest rate of 0.5%”, reads the statement in part.
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