DBJ To On-Lend $5 Billion To MSMEs

 

• The Development Bank of Jamaica (DBJ) will be on-lending $5Bn to micro, small and medium-sized enterprises (MSMEs) over the next 12 months.
• This was announced by Minister of Finance and the Public Service, Dr. the Hon. Nigel Clarke, at the launch of the 50th anniversary of the Inter-American Development Bank (IDB) operations in Jamaica, at its country offices, in Kingston recently.
• The Minister informed that the undertaking will be facilitated under the Government’s revamped Credit Enhancement Facility (CEF).
• The CEF, which is financed by the IDB, was established in 2009 to increase access to credit for MSMEs that lacked adequate collateral to secure loans.
• Through the facility, the DBJ provides partial guarantees to affiliated Approved Financial Institutions (AFIs) to cover up to 90% of the sum of individual MSME loans not exceeding $49.3Mn, for up to 10 years.

(Source: JIS)