BSP receives 185 loan requests

By PETER ESILA
THE Bank South Pacific (BSP) has received 185 loan applications totalling K49 million from the Government’s K100 million small-medium enterprises funding at the bank, says chief executive officer Robin Fleming.
Fleming said the applications were yet to be approved.
He said BSP had been a partner to the Government for many years with housing schemes, loans for road constructions and now SMEs.
“The Government’s platform is based on the MSME which the National Development Bank (NDB) will be assisting people with,” he said.
“Then the larger businesses come to BSP with requirements like (it is a) PNG-owned business, IPA (Investment Promotion Authority) registered, tax registered, turnover less than K3 million.
“The loan is available for BSP customers and businesses which do not bank with BSP.
“Facilities to refinance existing loans are available.
“Many of those loan applications do get assessed in the BSP’s policies and we can continue to provide a low-cost product to those customers.”
Fleming said a lot of factors affected MSMEs and that the succeed rate of startups was not very low.
He said there were many loan sharks out there who people should not deal with but instead save money in banks.
“Cash flow management and financial literacy are important,” he said.
“You have to be very strong in discipline.
“Your sale is never completed until you get the cash in your hand.
“The cash needs to be banked into an account at BSP or any other bank. It is important to open a bank account.”