ANZ has expressed support for the Federal Government's decision to extend the Small to Medium Enterprise Recovery Loan Scheme. The scheme, which aims to assist SMEs affected by the pandemic, allows businesses with a turnover of less than $250 million to access government-backed loans up to $5 million over a period of up to 10 years.
The extension modifies the loan guarantee from 80% to 50% and is available until June 30, 2022. ANZ Managing Director Commercial and Private Banking Isaac Rankin commented on the development: “We welcome the Federal Government’s extension of the scheme at a time when we are starting to see signs of optimism for many Australian small businesses with demand rebounding.”
Rankin highlighted that the continuation of this loan scheme would enable more businesses to secure essential financing, boosting their confidence in growth and expansion. He noted an increase in applications for the scheme, stating, “In the last month alone, we have seen twice the number of applications for the loan scheme.”
He further elaborated that one-third of these applications originated from sectors such as retail trade, accommodation, cafes, and restaurants—industries heavily impacted by lockdowns in Victoria and New South Wales. Rankin emphasized that SMEs play a crucial role in Australia's economic recovery as significant employers needing stability and financial resources for investment and job creation.