New York City Small Business Loans Drop

New York City's small businesses saw a sharp drop this year in the number of loans guaranteed by the government.

Reps. Anthony Weiner of Queens and Nydia Velazquez of Brooklyn released data showing a nearly 40 percent drop of loans guaranteed by the Small Business Administration in the budget year that ended in September.

The total value of such loans -- made by private companies but guaranteed by the government -- dropped 18 percent compared to the previous year.

The hardest hit borough was Queens, where businesses borrowed 45 percent less. Staten Island fared best with a 4 percent increase.

Weiner and Velazquez said the government effort to ease the credit crunch should do more to focus on small companies.

The above is a quick news update from Business Week. I'm afraid how much percentage would it be by the 1st quater next year. Will it be going on the worse direction?


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