JAMAICA'S EXPORT export sector will now begin to have access to low-interest, US$-denominated funds that are being provided to assist expansion of the sector.The funds are being offered under the Export Growth Initiative Loan Programme and access will follow today's signing of an
agreement between the Jamaica Exporters' Association (JEA) and the Government of Jamaica that will bring the programme fully into operation. The signing will be one of the highlights of the 39th annual general meeting (AGM) of the Jamaica Exporters Association, scheduled to begin at 4:00 p.m. at Medallion Hall Hotel. Participants in that ceremony will include Finance and Planning Minister, Dr. Omar Davies, who will be the guest speaker at the AGM.
WORKING CAPITAL
The Export Growth Initiative Loan Programme was first announced by Dr. Davies in April of this year and is intended to make loans of up to US$300,000 available to each borrower at a seven per cent rate of interest. The total amount that will be immediately available for lending is US$4 million and companies that have their loan applications approved will be able to use the money as working capital, for marketing purposes, equipment acquisition, technical assistance, human resource development, plant expansion, restructuring, and replanting of fields, among others. The facility will be administered and disbursed by the Export/Import Bank.
The JEA has indicated that it will be able to begin accepting applications for loans immediately after the signing, and has said that the association is prepared to make loans available to companies that are "approved by the JEA and considered capable of meeting agreed targets for export earnings, job creation and investment."
Among the other critical conditions is for all companies who wish to access loans to be 'in good standing' with the Government of Jamaica, in terms of their taxes. Additional terms and conditions of the Export Growth Initiative Loan Programme will be outlined at the AGM. The meeting will also see a new executive being elected to direct the affairs of the country's export sector for the upcoming year.
