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What is Soft Loan?

A soft loan is basically a loan with a below-markets interest rate. This is called soft lending. In some cases, soft loans offer more concessions to certain borrowers, like interest holidays or long repayment terms. Soft loans are often offered by governments to private ventures they feel are worthwhile.The first group of businesses that usually need soft loans are the ones that have just started up. If they don't have…

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