After the government launched eight new support measures for small- and medium-sized enterprises (SMEs) yesterday, the standing vice-chairwoman of the Federal General Commercial Association of Macau Small and Medium Enterprises, Melinda Chan Mei Yi, commented that the supporting measures only benefit those who made “zero” profit in 2020 but she believed that “even with a 100,000-pataca profit last year, a business could barely sustain itself this year” due to the latest COVID-19 developments in Macau.
Chan made the remarks yesterday in a phone interview with The Macau Post Daily.
According to Chan, among the eight support measures, the “bank policy” – extending the repayment period and temporarily only paying back the interest but not the loan – could benefit local SMEs the most. However, she added that the policies still had “room for improvement” as that the eighth measure would only benefit those who made a deficit in 2020. She pointed out that the economy was better last year compared to this year, stressing that 2021 is the year when businesses have been affected the most.
Chan said that some members of her association pointed out that their businesses only made a few thousand or ten thousand patacas profit last year, adding that if the current economic situation continues, even with a profit of 100,000 patacas from last year they could barely sustain their businesses.
Moreover, Chan said that the government’s scheme that urges private property owners to reduce their rents also had “grey areas” as it neglected the fact that previously some property owners had already reduced their rents and the scheme may give renters the “false idea” that the owner might lower their rents again, which could result in conflict.
Chan urged the government to consider launching measures targeting businesses located in red or yellow code lockdown zones during the current COVID-19 cases. She also suggested that the government provide immediate financial support for small entertainment venues, such as beauty parlours, karaoke bars, and pubs, as they were forced to temporarily suspend their businesses twice this year due to the novel coronavirus situation in Macau.
Chan said she believed that at the moment the government should focus on adjusting and launching some mid-to-long-term support schemes in order to give SMEs a sense of security. She pointed out that as the recent COVID-19 pandemic developments in the city have yet to stabilise, the government should launch policies to avoid business closures, which could result in a higher unemployment rate.
Meanwhile, a businessowner surnamed Ng in Patane district told The Macau Post Daily yesterday that he was happy about the extended repayment period and the “only pay the interest but not the loan” proposed policies. He pointed out that as a boss of an SME, sometimes he could not even earn any income, adding that he would be satisfied even if his business only breaks even during the COVID-19 pandemic. He stressed that “it would be the best if the government launched financial subsidies for SMEs”.
A casino staff member who was told to go on unpaid leave told The Macau Post Daily, on condition of anonymity, in Largo do Senado yesterday that the government could not do any more in terms of COVID-19 prevention and control measures. She pointed out that the best way to recover the economy was to lift the mandatory quarantine between Macau and mainland cities.
This photo taken yesterday shows the city’s main square, Largo do Senado, with scarcely anyone there. Photo: MPDG
