Increased Financing for MSMEs

• The Planning Institute of Jamaica (PIOJ) is reporting a growth in financing support to the micro, small and medium-sized enterprise (MSME) sector. Data from the Bank of Jamaica (BOJ) indicate that loans to local business firms increased by 18.5% in 2023 relative to 2022.
• Government initiatives such as the provision of funds to organisations for on-lending, tax incentives and business development programmes, alongside private-sector initiatives, played a crucial role in fostering this growth.
• Addressing the opening ceremony of the Ministry of Industry, Investment and Commerce’s MSME Business Roadshow at the JUICI Empowerment Centre in Clarendon on Thursday (February 20), Director General of the PIOJ, Dr. Wayne Henry, said that growing confidence in and recognition of the impact of the country’s economic performance is driving increased financing of these industries.
• He noted that the sector’s development continues to be guided by the Vision 2030 National Development Plan and the Associated Medium-Term Social Economic Policy Framework 2021-2024.
• Sales from MSMEs increased by 1.2%, reaching a total of $207.40Bn, driven by the strong performance of micro and medium-sized firms in sectors such as electricity and water supply, mining and quarrying, and manufacturing.
• The MSME sector plays a critical role in advancing the fundamental component of Jamaica’s economic structure as they play essential roles in promoting equity, preserving wealth, fostering economic growth, generating employment opportunities, facilitating sustainable development, encouraging employment and expanding the private sector. Furthermore, they contribute about 44% to the country’s GDP and account for 60-70% of all jobs.

(Source: JIS)