SME Development Finance Corporation (SDFC) lost millions in the first quarter of the year.
The quarterly review of SOEs published by the Privatisation and Corporatization Board (PCB) showed that SDFC suffered a loss of MVR 21.17 million due to overdue loan payments.
According to the PCB report, SDFC spent MVR 39.35 million on operational expenses and over 75 percent of it was default payment.
The government had financed many businesses and individuals through SDFC during the Covid-19 pandemic. This list included ineligible entities, including MDP parliament members and other individuals in government-appointed political positions. Moreover, it was recently revealed that even former Spokesperson Mabrook had been in default for over 8 months for a loan financed by SDFC.
While SDFC suffered a loss early this year, this was the most significant loss in the company’s history since starting up