HNB ramps up COVID relief, extends to over Rs. 350 bn in loan moratoriums

HNB PLC has ramped up assistance to individuals and enterprises negatively impacted by the COVID-19 pandemic by granting debt moratoriums worth Rs. 350 billion as at the end of June.

In total, HNB granted over 65,000 moratoriums across the entire spectrum of the bank’s clients; spanning corporate, Small and Medium ( SME), micro, and retail customers, the bank said in a media release.

Working in alignment with state- led initiatives, HNB also facilitated Rs. 9.5 billion in working capital loans at a concessionary interest rate of 4 per cent per annum via the Central Bank’s ‘ Saubhagya COVID - 19 Renaissance Facility’ and ‘Credit Guarantee and Interest Subsidy’ Schemes.

In order to support SMEs that were not captured by the Saubhagya fund, HNB also leveraged its own internally generated Rs. 5 billion COVID-19 SME relief fund to disburse loans at a concessionary interest of 8 per cent.

“While significant assistance has been provided in terms of concessionary working capital loans and debt moratoriums, there are many more clients especially SMEs that are still facing severe constraints that still require support. We wish to reassure these customers that HNB will always stand with you in this difficult moment, and provide all possible assistance to ensure that enterprises are able to bridge gaps in their balance sheets in order to secure a strong recovery despite the challenges ahead,” HNB Managing Director/CEO, Jonathan Alles stated.