Floriculture Sector Eligible for Virus Bailout

EghtesadOnline: The outbreak of coronavirus has inflicted over 17,000 billion rials ($98.26 million) in losses on businesses in the ornamental plant and flower sector, the director general of Greenhouses, Medicinal Plants and Edible Mushrooms Office with the Agriculture Ministry said.

News ID: ۷۵۰۱۴۷

01 June 2020

“They were omitted from the list of distressed businesses eligible to receive the government’s coronavirus bailout funds. Thanks to the efforts of Agriculture Ministry, ornamental plant and flower businesses were also introduced to the government as eligible to receive bailout money,” Gholamreza Taqavi was also quoted as saying by IRNA.

The Iranian government has approved a 750-trillion-rial package ($4.33 billion) to help low-income households and struggling businesses impacted by the deadly virus. The loans will be given to small- and medium-sized enterprises hit hard by the pandemic, according to the website of the Central Bank of Iran.

“The lending rate will be 12% to be repaid within two years,” CBI Governor Abdolnasser Hemmati said.

“Even if banks set 18% interest on loans, the real interest rate would still be negative when compared to the annual inflation. Any rate below 12% would apparently impose further financial strain on banks. Only businesses that did not lay off workers during the corona crisis would be eligible for the loans,” he said.