K300m for loan facility ‘not accounted for’

 A FORMER Trade, Commerce and Industry minister claims that K300 million approved to fund a loan in 2011 has not been accounted for.

Former Maprik MP Gabriel Kapris, who served in the Somare government at the time, told The National that the K300 million was a three-year programme rollout money to unlock potentials of small to medium businesses by way of giving out the loan. He said the loan facility was a joint funding by Government (60 per cent) and World Bank (40 per cent).

Kapris said the money was approved by the National Executive Council and he signed the loan documents in 2011 in Sydney, Australia. He added the Bank South Pacific was appointed as the custodian of the loan funds.

“The process is that there is a risk sharing facility (RSF) at the Department of Trade, Commerce and Industry where business people who want to borrow can apply to the department and BSP finally approves it,” he said.

“Since then, we have not seen the success of the RSF, how many Papua New Guineans benefitted, how much has benefitted is not known at this time.” Attempts to get comments from Trade, Commerce and Industry Department and BSP were unsuccessful.