Regular business loans during the pandemic

As always, all loan applications will be reviewed to determine whether the applicant’s business plan projects sufficient returns: in other words, will the company be able to repay the loan? The bank has an important duty to lend responsibly, and prevent companies from becoming burdened by excessive debt. Ultimately, this is in the client’s own best interests.

In practice, companies and investors are usually more careful during crisis situations, and more reluctant to borrow money. As such, the pandemic could affect the number of regular loan applications. The proportion of loan applications that are granted generally remainslargely stable throughout the economic cycle.