Doha, November 09 (QNA) - Qatar Central Bank (QCB) has issued regulations on financing Micro, Small and Medium Enterprises (MSMEs) against point-of-sale (POS) revenues and verified electronic payment revenues within the State of Qatar, into line with the Third Financial Sector Strategy and in support of financial inclusion in the State of Qatar.

A statement by QCB on Monday clarified that these regulations help encourage MSMEs to expand their business activities by facilitating access to financing through easing collateral requirements for obtaining credit, expediting credit approval procedures, and relying on the revenues of such enterprises as a source of repayment, whether such revenues are generated through POS devices provided by the same financing bank or by other banks.

It added that other verified electronic payment revenue streams within the State of Qatar, for which revenues can be substantiated, may also be utilized.

The regulations include a number of controls, most notably setting a maximum financing limit equivalent to 30% of the average total annual revenues, with a repayment period of two years, including a grace period not exceeding six months, in addition to other controls aimed at protecting both banks and customers alike. (QNA)