Enga inks deal with bank, allocates K1mil for SMEs


A MEMORANDUM of agreement signed between the National Development Bank and Enga Governor Sir Peter Ipatas will have K1 million given to the bank for locals to access to start small businesses.
Sir Peter said during the signing yesterday that the Covid-19 situation had made his government enter into the MOA to roll out a credit guarantee scheme to financially empower Engans to get into farming.
“As a government, we are providing this as an opportunity,” he said.
“We are making the funding available for you (local people) to farm the land as a source of income and a healthy way of living.”
NDB managing director Moses Liu said the signing of the MOA would see the roll out of a credit guarantee scheme for Enga.
“We have a vehicle to channel the government’s development funds through credit schemes,” he said.
“There are 19 schemes: four provincial governments and 15 district credit schemes.”
“Enga provincial government will provide affordable micro-credit to the people of Enga especially businesses in the micro small medium enterprise (MSME) space.”
Liu noted that the minimum amount of lending would be K1,000 while K5,000 would be the maximum and applications would be accepted at its Wabag office.
Meanwhile, Sir Peter said that K1 million was initially allocated to start the scheme and depending on its success more funding would be made available.
He said Engans needed to take advantage of the scheme and challenged his people to start small businesses.
Sir Peter said the arrangement with the Israeli group Innovative Agro Industry (IAI) had provided a market for fresh produce.
“We want to get our people to align to the crops that they can sell. So basically, that’s how we want to enhance the programme so they don’t grow crops they cannot sell.”


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