Only 37% of special government loans provided to those in need during the COVID-19 pandemic have been repaid, according to welfare ministry data compiled recently.
Of the roughly ¥104.7 billion in such loans — due to be repaid by the end of 2023 — about ¥38.7 billion was repaid while the rest, some ¥65.9 billion, has not yet been paid back, the data showed.
Local social welfare councils are urging those with overdue loans to repay the money, through visits or by sending documents to their homes. However, in many cases such loans have not been recovered, mainly due to the borrowers being unable to rebuild their lives even after the pandemic.