$30-Million Loan Facility for Small and Medium Manufacturers

Small and medium-sized manufacturers are to benefit from a $30-million loan facility established by the EXIM Bank of Jamaica in collaboration with the Jamaica Manufacturers’ Association (JMA).

The facility enables JMA members to borrow a maximum of $1.5 million to purchase equipment and raw materials, among other operational inputs.

Entities must be in good standing with the JMA, be tax compliant, and in operation for a minimum of two years to be able to access the funds, which have a maximum three-year repayment timeline.

They will also benefit from technical support that will be provided by EXIM’s Business Advisory Services Unit.

The JMA-EXIM Loan Facility was launched during a brief ceremony at the Bank’s Hope Road head office in Kingston on Tuesday, July 5.

EXIM Bank’s Managing Director, Lisa Bell, said the new loan product aims to level the playing field between large and small manufacturers by making working capital more accessible, serviceable and affordable to more small and medium enterprises (SME).

She committed to lobbying for an increase in the loan fund “if we see that our small manufacturers are truly benefiting”.

Mrs. Bell noted that the facility’s launch is “significant”, coming at a time when “the Government is clearly making growth and job creation major elements for its economic agenda”.

She said that as Jamaica’s premier development bank and one of the agencies in the Ministry of Economic Growth and Job Creation “we see ourselves as having a critical role to play in helping to fulfil these growth objectives”.

The collaboration with the JMA, she pointed out, is in recognition of the importance of forging partnerships to create new opportunities for sustainable growth and transformation in key development sectors.

Mrs. Bell said that the bank is rededicating itself to customising financial products and solutions that meet the specific needs of SMEs, and will be announcing other major partnership initiatives to spur increased growth in areas such as tourism and technology.

JMA President, Metry Seaga, described the loan facility as an “important lifeline” for small manufacturers and is designed to enhance their competitiveness.

He said the sustainability of small businesses is directly linked to the ability of stakeholders to attract stable and affordable financing.

Mr. Seaga said the JMA recognises the important role played by the EXIM Bank in the development of SMEs in enhancing socio-economic prosperity.

“We, therefore, look forward to future partnerships in providing financial windows to manufacturers on a sustainable basis,” he added.