BETWEEN APRIL and September this year, JN Micro Credit, a subsidiary of Jamaica National Building Society, disbursed 4,570 loans totalling $132 million and for the previous year, March 2001 to April 2002, 7,500 loans were approved valued at $200 million.
Thirty-six year old Clive Burrell is one of the beneficiaries of JN Micro Credit, which enables small and micro entrepreneurs in Jamaica to speedily access financing for their businesses.
Mr. Burrell has been making furniture for most of his life. He operates his own furniture manufacturing business in Westchester, Portmore, St. Catherine, where he constructs beds, dressers, chest of drawers, whatnots and kitchen cupboards among other things.
Mr. Burrell entered the programme in June 1998, when he received a loan of $10,000 to improve his woodwork shop. Since then, he has received nine loans totalling $420,000, the last of which was $50,000.
"I heard about JN Micro Credit from a friend. At first they were kind of unsure about lending me because they had bad experiences with people in my profession. However, they decided to give me a chance and I have not disappointed them; I always pay my money," he said.
Davena Moore, a Field Officer at JN Micro Credit, attested that Mr. Burrell has always paid his loans well and has recommended many customers to the programme. "Throughout his time in the programme, he has acquired a number of tools for his workshop, the latest being a heavy-duty jointer and a Nissan pick-up to assist with his deliveries," she said.
On Monday, October 28, directors of the JN Micro Credit Company Limited conducted a field visit to six businesses in St. Catherine to get a first hand view of their operations.
Frank Whylie, General Manager of JN Micro Credit, led the delegation, which included JN Micro Credit field officers, Oliver Clarke, Chairman of JN Micro Credit, Earl Jarrett, Mary Allen, Byron Ward, Larklin Hall and Aston Barnes, directors of JN Micro Credit. Mr. Jarrett is also General Manager of the Jamaica National Building Society (JNBS).
Guests included Ambassador Sue Cobb, United States Ambassador to Jamaica; Mosina Jordan, Mission Director for the United States Agency for International Development (USAID), and Hugh Morris of Tools for Development Jamaica Limited.
"JN Micro Credit Company has a three-year co-operative agreement with USAID valued at US$1.2 million where they provide us with technical support. This agreement began in February 2002 and we wanted to share with the Agency the success of the programme to date," Mr. Whylie explained.
Additionally, he indicated that the JN Micro Credit Board "visits the businesses that are financed by us so that they can evaluate their progress, and meet with our clients".
The other businesses visited were Jemar's Restaurant, run by Doreen Freemantle; a bakery managed by Patrick Brown; a grocery shop owned by Viola McDonald; a poultry farm operated by Ronald Ranger and a dressmaking business managed by Pearl Shaw. These businesses are located in the communities of Portmore, Waterford, Kitson Town and Spanish Town.
Viola McDonald received her first loan of $15,000 in December 1997. Her current loan is $120,000. This is the third time she has received a loan of $120,000, which is the maximum loan available. To date she has received 13 loans totalling over $1 million. Her business has expanded successfully over the last five years and she now operates as a wholesaler and retailer.
Mr. Whylie noted that the businesses were chosen based on the entrepreneurs' excellent repayment record and the growth of their business since they received their loans.
