NDB calls on Govt to release K20mil

Business, Main Stories


THE National Development Bank (NDB) can now apply for licence from the Central Bank to operate as a micro bank.
This comes after the National Executive Council (NEC) approved proposal by NDB to apply for the licence from BPNG in its plans to operate as a micro bank to serve subsistence farmers around the country.
NDB board chairman William Lamur revealed this in Goroka, Eastern Highlands province, early this week at the conclusion of the banks first board meeting for the year.
“We call on the Government to release the K20 million approved in October last year by NEC to establish NDB Micro Bank,” he said.
Lamur also revealed that NDB recorded an after tax profit of K1, 665,557 profit in the 2009 financial year.
He said with the good performance, there were plans to continue to lend in agriculture sector from K20 million the Government provided under the national Agriculture development plan (NADP).
The consolidated profit was K5,365,279.
“We are now in the process of completing our new corporate plan 2010 – 15.
“Over the years, the bank was an open cheque book for those in power and their appointed cronies who killed a good bank set up to drive development and create wealth for our people,” he said.
NDB managing director Richard Maru separately confirmed that last five years was to clear up the bank to recovery saying the Government should give more money to the bank to serve the people.
Mr Maru described the Government’s Vision 2050 as only a dream, and stated that the Government should put money where its mouth is.
“NDB will be the main driver of wealth creation in PNG to allow Papua New Guineans not to be spectators in their own land,” he said.
NDB earlier provided K8.6 million to locally owned coffee exporting company Kongo Coffee in Chimbu to expand its factory to have highest capacity of producing eight tonnes per hour.
Kongo managing director Jerry Kapka said small people needed to have their own bank to get loans, as commercial banks had tougher policies which made it difficult for them.
“The Government should give more money to NDB to grow the economy in rural areas, Vision 2050 will only work if you put money behind the plan,” Mr Kapka said.