Gov’t Recommits Supporting MSMEs – PM Holness

Prime Minister, Dr. the Most Hon. Andrew Holness, has reaffirmed the Government’s commitment to improving access to financing for micro, small and medium-sized enterprises (MSMEs), emphasising their vital role in driving inclusive growth and strengthening Jamaica’s economy.

Addressing the Ministry of Industry, Investment and Commerce’s MSME Linkages Day event at the University of Technology (UTech) in St. Andrew on Tuesday (July 15), Dr. Holness stated that Jamaica’s economy cannot grow unless its entrepreneurial class expands.

“We understand that no matter how strong the idea or committed the entrepreneur, growth cannot happen without capital,” he added.

Against this background, Prime Minister Holness noted that the National Export-Import Bank of Jamaica (EXIM Bank) has disbursed nearly $10 billion in MSME loans since 2021, while the Development Bank of Jamaica (DBJ) has supported lending with a $2-billion facility.

“We have eliminated upfront fees by allowing MSMEs to roll them into the principals, making it easier for small businesses to borrow and grow. We have also endorsed the Jamaica Stock Exchange (JSE) Micro Market, which will unlock equity financing of up to $50 million for hundreds of small enterprises. These are real tools, real lifelines for real businesses across the country. We are also deepening our commitment to broadening access to finance through capital market innovations,” he pointed out.

Dr. Holness described entrepreneurs as essential agents of economic development, declaring that the Government has “long recognised that true economic transformation begins, not in the boardroom or government buildings, but with our people – the entrepreneurs and innovators who see potential in the face of obstacles; entrepreneurs are nation builders, and MSMEs are the foundation”.

The Prime Minister pointed out that MSMEs are the backbone of Jamaica’s economy, noting that they represent more than 90 per cent of all enterprises, employ between 60 and 70 per cent of the workforce, contribute 44 per cent of gross domestic product (GDP), and accounted for nearly 12 per cent of total tax revenues last year.

“If we are serious about building a resilient, productive and inclusive economy, we must continue to bet on our entrepreneurs, and that is exactly what this Government has been doing,” he said.

Dr. Holness informed that over the past nine years, the Government has placed entrepreneurship at the heart of national policy.

“Through the MSME Business Roadshows, we have brought business development support directly to the people, touching over 2,000 MSMEs across eight parishes, issuing $17.6 million in grants and linking entrepreneurs with financing, digital platforms and training opportunities,” he said.

The Prime Minister noted that between January and July this year, more than 9,000 business names and 3,000 companies were registered.

“Jamaicans are no longer waiting on a job, they are creating one. Approximately 20,000 new businesses have been created in the last 10 years… and that didn’t happen by itself. Yes, a large part of it would have been organic, but the Government has been very deliberate, very instrumental, very direct, very hands-on in promoting this idea of enterprise, industry and entrepreneurism,” he said.

“Today, we do more than celebrate your resilience and ingenuity, we recommit ourselves to building an economy that works for you… but more importantly, that works because of you,” Prime Minister Holness added.