Bank’s issues affecting scheme

COURT and administrative issues within the National Development Bank (NDB) affected its loaning out the K80 million given by the Government to start businesses, says Commerce and Industry Minister William Samb.
The Government also gave K100 million to the Bank South Pacific Financial Ltd (BSP) for a similar purpose. The Government had allocated a total of K200 million to the two banks “and the process at BSP is working really well for existing businesses”.
“(The amount allocated to the) NDB is for start businesses. Unfortunately, there is some bureaucratic (issues) and court orders at NDB delaying the expenditure of the money (which) we are working on,” he said.
He was responding to Kairuku- Hiri MP Peter Isoaimo who said the people were not accessing the K80 million at the NDB.
Isoaimo said business groups needed to access the money at NDB.
“Business groups are those in the villages where our fathers and grandfathers operate businesses,” he said.
“They don’t have education but many are successful (while others) are not.
“Government has put in funding to help these small people get into business.”
Isoaimo said when villagers wanting to start small businesses went to the NDB, they were asked “a lot of questions”.
“NDB is supposed to be a Papua New Guinea-owned bank (but) many have been give the run-around.
“This is one area the department of commerce needs to tidy up.”