The three leading Singapore Banks, DBS, Overseas Commercial Bank of China (OCBC) and United Overseas Bank (UOB) have announced relief measures for corporate small and medium enterprises (SMEs) and retail customers affected by the COVID-19 (Coronavirus Disease 2019) outbreak. The measures are aimed at helping the companies meet their urgent cashflow needs.
DBS will provide a six-month principal repayment moratorium for SME property loans. It will also offer an extension of import facilities of up to 60 days to act as immediate cashflow support for businesses coping with disruptions. These initiatives will be available upon application to customers with good repayment histories. In addition, affected retail customers with good repayment histories can apply for a six-month principal repayment moratorium for mortgage loans.
OCBC is allowing customers (individuals, SMEs, corporates) to restructure their loans, including home mortgages and business loans. It is also providing a moratorium on principal repayment for loans, including home mortgages and business loans and extending bridging loans in the form of additional working capital financing to affected businesses
UOB is allowing affected businesses to rework their principal repayments and to service only their loan interest for up to one year; extending up to one year working capital financing of up to SGD 5 million; and offering financing liquidity against mortgage security. For its retail customers who are affected by the current circumstances, UOB will assess on a case-by case basis how it can help them.
Real estate developer, Capitaland, has introduced wide-ranging support measures for its retail partners operating more than 3,500 stores across 19 CapitaLand malls in Singapore. This includes a SGD 10 million marketing assistance program which will be used to support both retailer-driven promotions and mall-wide marketing initiatives. These include complimentary booking of atrium spaces for retailers and free parking for shoppers during lunch or dinner hours.
The Singapore government is also studying how best to support the hospitality, tourism, retail and food and beverage sectors which have been affected the worse by the COVID-19 situation and measures are expected to be announced in February in the 2020 budget.
(Sources: DBS; Overseas Commercial Bank of China; United Overseas Bank; Capitaland; The Straits Times)
