CEDA forecloses 237 accounts since Covid
The portfolio of the Citizen Entrepreneurial Development Agency (CEDA), amounting to P2.4 billion across 5,482 accounts, existed before March 31, 2020, prior to the emergence of the COVID-19 pandemic.
In response to a question from Dr. Thapelo Matsheka, Member of Parliament for Lobatse, Minister of Entrepreneurship, Karabo Gare informed Parliament that from March 2020 until the present, 237 accounts totalling P174,805,996 had been foreclosed for various reasons.
Dr. Matsheka's inquiry sought information on the pre-COVID-19 status of CEDA projects, the current number of foreclosed projects, their total values, the number in the hospitality sector, and the measures taken to support affected projects in different sectors.
Minister Gare clarified that out of the 237 foreclosed accounts, two belonged to hospitality sector projects with a combined value of P25,189,630. He said to address the adverse effects of COVID-19 on funded projects, several measures were implemented including extension of repayment holidays for a maximum of 12 months across various sectors, rescheduling of 1,458 loans on the portfolio totalling P329 million spanning multiple sectors, introduction of the Letlhabile micro-loan product, specifically designed for the informal sector, aimed at reviving businesses affected by closures and movement restrictions and provision of working capital facilities to businesses impacted by the pandemic through the Industry Support Facility.