About 40,000 informal traders in South Africa will be supported with $65 Covid-19 financial relief package.
Businesses that have been impacted by Covid-19 are to apply for funding of the $65 (R1,000) as disclosed by Small business development minister, Khumbudzo Ntshavheni.
The minister said the initiative is a collaboration with the department and Nedbank to empower 40,000 small businesses.
The minister said: “In a total contribution of R40m, qualifying traders will receive grants of R1,000 each. The money will be used to buy stock”.
Traders who want to benefit from the initiative are urged to register on the national small, medium and micro enterprise (SMME) website for small businesses and complete the online application form. Applicants are required to have a SA ID and a valid municipal trading permit.
Initiatives have been introduced by the government to help small businesses since South Africa went on lockdown. One of the initiatives is the Township and Rural Entrepreneurship Programme (Trep).
Trep is to support enterprises based in townships and rural areas, and also micro and informal businesses. It will them restart, rebuild and improve their businesses as part of the reconstruction and recovery of the SA economy, according to the minister.
The department introduced a “debt relief fund” in March to service the debt of small business owners affected by the pandemic. Minister Ntshavheni said, to benefit from these initiatives, business men must prove their businesses were directly affected by the pandemic.
She disclosed that: “Government understands SMMEs will be affected on two levels: as businesses when the economy slows down, and as suppliers of products and services during this period”.
