Over 2,000 small and medium-sized enterprises (SMEs) have applied for loans under the nationally supported loan facility, the SME Credit Enhancement Scheme Loan (SME CESL) through BSP Financial Group Limited (BSP) with over 115 million KK funded as of December 15, 2021.
Of the 2,100 SMEs that applied for loans through the CESL mechanism for SMEs, more than 50% were successful, with almost 30% of loans at the application stage and 20% were refused through the normal process Bank’s credit assessment, according to BSP. Group CEO Mr. Robin Fleming.
Mr. Fleming added that BSP Financial Group Limited continued to finance loans using its own funds under the CESL Facility for SMEs despite exceeding the KK 100 million support funding provided by the national government. âBSP continues to lend to our SMEs over the holiday season and we are able to do so with funded loan liquidations and keeping delinquencies on loans within the Bank’s default thresholds,â Fleming said. .
âThe holiday season has been hectic so far with an increased number of applications received, and we already have over $ 90 million in applications being processed as the numbers increase from all of our regions and the three SME business centers in Lae, Goroka and Vision City in Port Moresby, âsaid Jeffrey Singer, Director of PME BSP.
Mr Singer added that BSP was able to exceed the financial support of K100million by the end of the year with the reduction of the capital requirement from 30% to 10% and the change in the maximum loan amount of K 3 million to K 5 million, allowing more SMEs to be eligible to access the CESL PME scheme. âIt was obviously a tough year for our SMEs in particular, but as they say hard times don’t last, tough people. Year 2022. “
The BSP SME Credit Enhancement Scheme i loans open to all SME owners, including non-BSP clients, and includes the ability to refinance existing loans. Customers can inquire in all BSP branches across the country and in particular in the three BSP business centers dedicated to SMEs, in Vision City – Port Moresby, Goroka and Lae.