Govt Offers Debt Restructuring for Struggling Small Businesses
By Chembe Mbale
The Ministry of Small and Medium Enterprise Development says the government is willing to offer debt restructuring to struggling businesses failing to repay loans they obtained from the Citizens Economic Empowerment Commission (CEEC).
In an interview with ZNBC News, Small and Medium Enterprise Development Minister Elias Mubanga says the ministry is willing to renegotiate payment terms under CEEC loans to facilitate repayment.
Mr. Mubanga, however, said loan cancellation or amnesty is not an option, even for businesses severely impacted by last year’s drought.
He explained that the move aims to support small and medium enterprises while also ensuring that the CEEC’s loan portfolio remains sustainable.
Mr. Mubanga added that the debt restructuring opportunity is expected to benefit numerous businesses that have struggled to repay their loans due to various challenges such as the energy crisis.
He further stated that the government stands ready to recover the funds and is willing to consider extending the repayment periods to achieve debt recovery.
