SUNBIZ

COVID-19: 5000 Rental Vehicles Feel The Pinch

Association president Mohammed Safik said 5000 rental vehicles were affected as a consequence of the coronavirus impacting businesses.
27 Mar 2020 13:45
COVID-19: 5000 Rental Vehicles Feel The Pinch
Ace Rental Cars Fiji Limited.

Rental car companies continue to write to lending facilities seeking consideration to waive interest fees on loans taken for motor vehicles, the Fiji Rental Car Association said.

Association president Mohammed Safik said 5000 rental vehicles were affected as a consequence of the coronavirus impacting businesses.

Mr Safik said yesterday five rental car companies at Nadi International Airport closed after Fiji Airways announced its suspension of 95 per cent flights.

As a result, 300 rental motor vehicles were parked in Nadi, he said.

Restriction of movement

The association’s 70 members are resorting to other measures to keep their business afloat, Mr Safik said.

Some motor vehicles in his Makoi-based rental car company, Ace Rental Cars Fiji Limited, are being repaired during the current lull in the market.

Mr Safik said restriction of movement has impacted business.

He said association members are avoiding as far as possible cash payments, as they urge consumers to utilise online banking services.

Anticipation of improvement

The association anticipates a marked improvement in the rental car sector during the Easter weekend next month, Mr Saifk said.

“Even then, people will want to stay away and confine themselves.”

Meanwhile, Ace Rentals is offering bond-free terms for the hire of its Sedan and wagon vehicles.

Vehicles hired for five consecutive days will earn an extra day free of charge, Mr Safik said.

In a statement, the Association of Banks in Fiji said depending on individual circumstances, it would provide assistance in any one of the following:

  • loan repayment break and sus pension of principal payments,
  • restructure loans,
  • short term funding or top up loans, and,
  • reduction in interest rates and fee waive or concessions

Feedback: frederica.elbourne@fijisun.com.fj

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