Mercantile Bank

Mercantile Bank
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MERCANTILE BANK COVID-19 RELIEF SOLUTIONS
Mercantile Bank and Capitec Bank had the privilege of working with other banks, the South African Reserve Bank, and the Government (through National Treasury), to develop a R200 billion loan guarantee scheme (COVID-19 SME Loan) for small and medium enterprises in response to the lockdown period’s detrimental effect on the economy, businesses and their employees. The purpose of the loan guarantee scheme is to provide businesses impacted by COVID-19 and in financial distress with assistance to cover operational expenses where businesses’ cash flow is insufficient to do so as a result of the Declaration of a National Disaster.

Funds borrowed through this scheme can be used for operational expenses such as salaries, rent and lease agreements, utilities, insurance premiums and supply chain costs, thereby assisting businesses to start trading again and recover from the lockdown period.