The banks are extending additional support to businesses suffering as a result of lockdowns throughout Australia, Australian Banking Association CEO Anna Bligh has announced.
The national support package will be available to all small businesses significantly impacted by current lockdowns and those recovering from recent lockdowns, irrespective of geography or industry.
“While we know that the Australian economy is in good shape, we also know that recent lockdowns have taken their toll on customers and the recovery can be slow,” Ms Bligh said.
“Customers can rest assured that if they need help, they will get it. Your bank will help you find a way through, don’t tough it out on your own.”
Support includes up to three-month repayment deferrals, with loan terms extended accordingly, offered to all small business customers with business lending less than $3 million and a turnover of less than $5 million for loans in good standing.
ASBFEO welcomes support
The Australian Small Business and Family Enterprise Ombudsman, Bruce Billson, welcomed the support on Friday and encouraged all small business owners who are experiencing financial difficulties to call their banks to make the necessary arrangements.
“The banks’ commitment to support small businesses through this period is highly valued and is the kind of a key support element that could be incorporated into an agreed predictable and known national framework of support,” Mr Billson said.
“Such a framework, involving both government and private sector elements, step up as COVID-inspired economic constraints and introduced, up-levelled or extended that small and family businesses can count on when seeking to navigate these challenging and uncertain times.”