Prime Minister hon. James Marape has made credit facilities available to small to Medium Enterprises (SME’s) through Bank South Pacific (BSP) and National Development Bank (NDB).
He said it was because of this that the proposed Credit Guarantee Corporation of PNG was not in place yet.
Marape said this in Parliament when answering a question by Yangorou-Saussia MP. Hon. Richard Maru, on if the government could fund the corporation before the 2022 elections started in April.
The Prime Minister said his government had not as yet embarked on the corporation- which would work directly with the Bank of PNG- as yet, however, was not downplaying its importance.
He said his government had a similar program with direct intervention to lending institutions, BSP and NDB, for SME lending.
“The BSP program has been working well and, for the second year in a row, we’ve given another K100 million,” Marape said.
“They (BSP) have been lending money, not just the K100 million plus that we’ve given them, but additional that they’ve been able to provide. SME’s have been lining up at BSP trying to get access to access credit facilities. I would point out all SMEs out there in search of credit facilities to BSP.
“We’re working with BSP and NDB so that all the collateral and lending requirements are softened to ensure ease of access of these credit funds we made available for our SMEs.”