The Government Savings Bank (GSB) is to offer loans that are free of all repayments for the first six months to six provinces in deep-red zones to mitigate the economic fallout from Covid-19 outbreak, the state-owned lender said Friday.
The credit limit for each individual will not exceed 10,000 baht and will have a fixed interest rate of 0.35 per cent per month, with no collateral required, said GSB director Withai Rattanakorn.
The loan term is up to three years, while the bank will exempt borrowers both debt principal and interest payment for the first six months.
All participants must have Thai nationality, be over 20 years old, and be either self-employed, small business owners, or affected workers in the private sector to be eligible.
For the initial stage, processing will open via the application MyMo starting Thursday for those who registered on the app before May 1 and who live in the deep red zones, including Bangkok, Nonthaburi, Pathum Thani, Chon Buri, Samut Prakan and Chiang Mai.
There are already 9 million customer accounts registered on the application, according to GSB.
The programme will expand to cover all areas nationwide for MyMo registered customers on May 20 followed by the remainder group with no MyMo account until December or when the total loan limit of 10 billion baht is reached.