The US Small Business Administration (SBA) said in a press release on Thursday that it has stopped accepting applications for emergency loans to keep businesses solvent and continue paying employees due to the coronavirus (COVID-19) pandemic because the agency used up the funds provided by Congress
WASHINGTON (Pakistan Point News / Sputnik - 16th April, 2020) The US Small Business Administration (SBA) said in a press release on Thursday that it has stopped accepting applications for emergency loans to keep businesses solvent and continue paying employees due to the coronavirus (COVID-19) pandemic because the agency used up the funds provided by Congress.
"Notice: Lapse in Appropriations. SBA is unable to accept new applications at this time for the Economic Injury Disaster Loan (EIDL)-COVID-19 related assistance program (including EIDL Advances) based on available appropriations funding. Applicants who have already submitted their applications will continue to be processed on a first-come, first-served basis," the release said.
Senate Democrats last week blocked an emergency $250 billion replenishment for an SBA program that was part of the recently passed $2 trillion CARES Act to mitigate the COVID-19 crisis, despite warnings from the Trump administration that the small business portion of the measure would run out of money this week.
House of Representatives Speaker Nancy Pelosi and Senate Minority Leader Chuck Schumer rejected the measure because they wanted an additional $250 billion for hospitals, health systems, state and local governments and food stamps, according to media reports.
