Project needs more funding

 THE National Government needs to recognise the Stret Pasin incubation programme and allocate specific funding for it in the 

2016 National Budget, an official says.

National Development Bank Investments Ltd chairman Moses Liu (pictured) said despite making an application for K135 million in this year’s budget, the NDB Group was only allocated K50 million.

It was understood that more than 4000 small medium enterprises (SME) owners have applied to operate shops under the programme.

However, only 10 couples have been successful so far. “Because of our commitment to reviving the Stret Pasin Bisnis incubation programme, we have allocated K10 million of our own internal cash flow to the programme,” Liu said.

“We have two shops fully operational in Port Moresby and Goroka.

“We have acquired additional shop sites in Port Moresby, Kiunga, Lae, Madang, Goroka, Mt Hagen, Kimbe and Buka. It is not cheap exercise purchasing or building new shops.

“The main cost driver is the cost of land in prime locations with high traffic.

“We went to the market in 2014 seeking to acquire existing shops or vacant commercial land in prime locations for the programme, they cost between K1 million and K10 million.

“Due to high entry costs, we opted to lease shops for time being.

“By December, this year we will spend K10 million to set up 10 shops throughout the nation.

“In 2016 our vision is open two shops per province and by end of year 44 shops creating employment for 880 Papua New Guineans.”