CBUAE extends economic stimulus package until mid-2022

CBUAE extends economic stimulus package until mid-2022

UAE - Mubasher: The Central Bank of the UAE (CBUAE) has extended key components of its economic stimulus package, Targeted Economic Support Scheme (TESS), until mid-2022, according to the Emirates News Agency (WAM).

This extension will enable financial institutions to have access to the collateralised AED 50 billion zero-cost liquidity facility up to 30 June 2022.

Hence, financial institutions will be able to continue providing loans and financing to individuals, small and medium-sized enterprises (SMEs), and other private corporates which have been negatively affected by the coronavirus (COVID-19) pandemic.

Meanwhile, CBUAE's financing for loan deferrals under the TESS will continue until the end of 2021.

The Governor of the CBUAE, Khaled Mohamed Balama, said: "The extension of the TESS shall allow continued support by the financial system to the sectors negatively affected by the Covid-19 pandemic. This is done to support the recovery phase, in line with the CBUAE mandate to ensure financial and monetary stability."

It is noteworthy to mention that in November, the CBUAE extended the applicability period of integral parts in the TESS, launched in March 2020 amid the COVID-19 outbreak, until 30 June 2021.