Government of Dominica launches $27M small business loan facility at Aid Bank

The Government of Dominica has launched the Micro, Small and Medium Enterprises (MSMEs) Loan Facility at the Agricultural Industrial and Development (AID) Bank to provide access to capital for business investment and expansion.

Government signed the agreement with the Bank on Monday, March 7, 2022.

Government has loaned twenty-seven million, four hundred and thirty-one thousand dollars (EC$27.8m) from the Caribbean Development Bank (CDB) for on-lending to the MSMEs, through the AID Bank.

“The Dominica Labour Party Government has heard the cry of small business owners across the country for access to concessionary financing. Small businesses have taken a disproportionately hard hit due to the ongoing pandemic. We hear the call for assistance to bring their enterprises back to previous operational strength, to expand, and to prepare for the anticipated post-pandemic bounce back in the economy,” the Prime Minister said.

The loans are offered at an interest rate of three and a half per cent (3.5%) per annum on the reducing balance and borrowers will be given a grace period of six (6) months on the payment of the principal and interest. The maximum term is up to ten (10) years exclusive of the grace period.

The business must be registered with the Inland Revenue Division and the Dominica Social Security and the owner must be a citizen or a permanent resident of Dominica, operating on the island for 10 years or more.

To date, the Government of Dominica has made $38.8 million available for lending to MSMEs on concessionary terms. $5 million was placed at the AID Bank in 2020 and $6 million in 2021 as a COVID-19 response measure.

“This Government understands the importance of the contribution of the micro, small and medium enterprises to the Dominican economy – I speak here of the agro processors, the plumbers, electricians, farmers, fishermen, vendors, barbers, hairdressers, retailers, artists-and all the other entrepreneurs who ensure that economic activity remains steady. We believe the injection of funds into this sector will positively impact small business activity and touch the life of the common man in every village, in every part of Dominica.

“I encourage business owners who qualify, to take this opportunity to grow their businesses in a sustainable manner. The funds were secured specifically for you, to help spur growth in the small business sector. The next move is yours,” Prime Minister Skerrit stated.

The Prime Minister thanked the Caribbean Development Bank for its partnership with the Government and people of Dominica.

General Manager of the AID Bank, Marie-Therese Johnson, said the new facility will stimulate growth in the local economy.

“The line of credit is for on-lending to existing and potential clients within the productive sectors- agriculture, industry and tourism. The AID Bank is confident that this new line of credit will favorably impact employment creation and export substitution, sustain livelihoods and increase foreign exchange earnings.”

A micro, small or medium enterprise is a business-sole proprietorship, partnership or company- with annual turnover/sales less than two million and twenty-five thousand dollars, (EC$2,025,000).

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14 Comments

  1. Alibaba & the forty thieves
    March 8, 2022

    Alibaba behaving like when thieves know police after them. I bet you Alibaba knows what coming in his tail

    Well-loved. Like or Dislike: Thumb up 23 Thumb down 1
  2. FBI Agent
    March 8, 2022

    The CBI money Skerrit has used to corruptly buy Elections. This $27 million is another corrupt move but that will soon stop
    http://owens.house.gov/media/press-releases/owens-cohen-introduce-no-travel-traffickers-act

    Well-loved. Like or Dislike: Thumb up 23 Thumb down 2
  3. Jonathan Y St Jean
    March 8, 2022

    This is a smoke screen to divert attention away from the time that Skerritt gave for him to move out of the high rental dwelling and move into his own residence.
    When small enterprise owners take out loans these have to be repayed and I’m sure that based on the current economic situation in the country many of those loans will turn to bad loans.
    What’s important to hear is that the $64,000 per month burden on the Treasury, by extension the tax payer s, ends in the two year window that Skerritt gave.

    Well-loved. Like or Dislike: Thumb up 21 Thumb down 1
  4. Lawyer
    March 8, 2022

    Skerrit keeps on feeding Dominicans with his measly leftovers. Furthermore he keeps on announcing the the same things over and over again, usually every 3 month and his supporters will shout : PROGRESS. When are the citizens of DA finally going to show this Scharlatan the exit door??

    Well-loved. Like or Dislike: Thumb up 25 Thumb down 1
  5. Kevin
    March 7, 2022

    I love the program and I hope that the loans are allocated to small businesses that need the loans.my problem is that the release stated that the business must be operational for at least 10 years or more.What about young entrepreneurs who have only been in operation for example three years? Why should they be excluded?

    Well-loved. Like or Dislike: Thumb up 21 Thumb down 2
    • G
      March 8, 2022

      My question exactly!!

      Well-loved. Like or Dislike: Thumb up 5 Thumb down 0
  6. Ti Garcon
    March 7, 2022

    For the longest while Skerrit has been saying about a $10 million available for farmers at 1% interest rates at the AID banks. When I went there, they told me it doe have that money dere. Skerrit saying what he wants, when you go check it’s just props for political mileage.

    Well-loved. Like or Dislike: Thumb up 15 Thumb down 2
  7. L C Matthew
    March 7, 2022

    More stimulus for failing AID bank in the name of small business loans. What was the result and returns or impact of the two other such inputs. Where is the report of the success or failures. 2 +2 is still four no matter which way you want to spin it twist it make 22. Why is THE AGRI INDUSTRY DEV. Bank not making enough to re invest.

    Well-loved. Like or Dislike: Thumb up 10 Thumb down 1
  8. Ibo France
    March 7, 2022

    This self-centred narcissist is photo-op happy these days. He knows his media devotees like GIS, DBS, Kairi, DNO and now Q95 are always euphoric to give uninhibited publicity to his pronouncements.

    Small, local businesses need grants not loans with this present severely depressed economy. The policies have devastated a significant portion of the previously thriving small business sector. Mr. Skerrit has a propensity to destroy something, then make efforts to revive it to take the credit for himself.

    This supremely inept oligarch has completely wiped out a thriving Middle Class; flattened agriculture and manufacturing; and impoverished the masses like never before in the storied history of Dominica.

    What farmers, fishers, small business people and the country need most isn’t any small business loans but the complete removal of the cold blooded Despot and his impotent circus clowns from office.

    Well-loved. Like or Dislike: Thumb up 19 Thumb down 3
    • Man bite dogs
      March 8, 2022

      @Ibo you are not worthy of the crap coming from your mouth but very soon that same crap will poison you wherever you are sleep well my man!!!

      Hot debate. What do you think? Thumb up 1 Thumb down 23
  9. Our parrots are laying eggs
    March 7, 2022

    what is the sense of putting money in the aid bank for Dominican citizens when only a handful of persons get the help they need, and those who don’t cry and beg Labourrrrrr don’t get anything? tell me, what is the sense?

    Well-loved. Like or Dislike: Thumb up 11 Thumb down 1
  10. Jey Jey
    March 7, 2022

    You are looking at the government of Dominica right there in his Blue Suit. Yeah….that’s your government right there.

    Well-loved. Like or Dislike: Thumb up 19 Thumb down 2
    • Beta
      March 13, 2022

      Not only the government but also the police and judge and juror.

      Well-loved. Like or Dislike: Thumb up 7 Thumb down 0

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