United Overseas Bank (UOB) announced that it has allocated S$3 billion to provide companies, especially small- and medium-sized enterprises (SMEs), in Singapore with relief assistance to tide over the negative impact of the COVID-19 outbreak on their business.
In the face of the likely economic fallout and its impact on industries and businesses, UOB sees the need to help its corporate clients, in particular the SMEs, in addressing their near-term liquidity needs. The Bank’s relief measures aim to enable those affected companies, who have good track records and who have been servicing their repayments promptly, to have more flexibility in their cash flow management.
These measures include:
- 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 S$5 million; and
- offering financing liquidity against mortgage security.
Mr Wee Ee Cheong, Deputy Chairman and Chief Executive Officer, UOB, said, “In these particularly trying times, the government, businesses and communities are doing their very best to overcome this immediate challenge. We at UOB want to play our part in our commitment to caring for our clients’ businesses. For most companies, especially the SMEs, cash flow and financing are key to them sustaining their business. As their long-term banking partner, we believe our added support can help alleviate the business disruption and pressure from the ripple effect of the epidemic.”
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. The Bank is monitoring the situation and will take appropriate steps accordingly in support of its customers.