Queensland government doubles funding for interest-free business loans

The Queensland government has secured an additional $500 million in funding for its program of interest-free loans for COVID19-affected businesses.

Minister for Agricultural Industry Development and Fisheries Mark Furner said the additional funding would continue to be administered through the Queensland Rural and Industry Development Authority (QRIDA), but would be provided through the Queensland Investment Corporation (QIC).

“Our 12-month interest free loans of up to $250,000 have overwhelmingly been taken up by businesses that don’t pay payroll tax – 86 per cent of loans recipients fall below the $1.3 million wage threshold,” he said.

The number of applications for the $500 million program of 12-month interest-free loans up to $250,000 meant it was oversubscribed.

According to the terms of the program, applications were no longer accepted after April 18.

“QIC’s reputation as an internationally-renowned investment manager gives us the ability to access funding in way that other jurisdictions might not be able to do,” Furner said.

Furner commended QRIDA for its work in delivering the funding.

“QRIDA has an established track record of helping Queenslander in their hour of need, but traditionally that has been through cyclone, drought, or other natural disasters,” he said.

“The scale and complexity of what they have been able to deliver in a short period of time has helped protect the jobs of tens of thousands of Queenslanders.

“QRIDA will also provide free access to business advisory services for business who submitted a formal application but were unsuccessful in securing funding.”

The additional loan funding takes the value of COVID-19 measures committed to support Queenslanders’ health and Queensland households, jobs and businesses to over $6 billion.