Government is set to launch a new national financing partnership aimed at strengthening support for micro, small and medium-sized enterprises (MSMEs).
Minister of Energy and Business Development, Senator Lisa Cummins, unveiled the initiative during the launch of the Innovation Growth Market 200 Programme (IGM200) at the Lloyd Erskine Sandiford Centre.
The proposed partnership will bring together financial institutions, investors and support organisations in a coordinated effort to improve access to capital and drive business growth.
“It is my intention as Minister of Energy and Business to create a national MSME financing partnership. It must be a coalition among our financial institutions,” Cummins said, citing existing entities Fund Access and Trust Loans, commercial banks, the Bankers’ Association, and credit unions, which she praised as “the backbone of our small business community”.
The initiative will be built on three key pillars.
One is an Investor Readiness Programme, a joint effort to equip MSMEs with the tools they need to attract investment. This includes training in governance, financial literacy and investor engagement to prepare businesses for participation in the IGM.
Second is a Growth and Co-Financing Facility, a blended financing model that combines debt, equity and technical assistance. Cummins noted that Fund Access will play a central role in risk sharing, while banks and credit unions will be encouraged to co-invest alongside private investors.
Third is a National MSME Support Alliance. Described by Cummins as “the holy trinity”, this coalition will connect financial institutions, business support organisations and development partners. Its goal is to build MSME clusters, enhance export readiness and educate investors about opportunities in the small business sector.
“Together, this triad will work hand in hand with our business organisations and a team here along with the investors, and we will work together to anchor the IGM as a national engine of growth,” the minister said.
Cummins emphasised that well-supported MSMEs with access to capital, training, and robust governance can have a significant economic impact.
“They can attract GDP growth by scaling operations and hiring more people. They can attract domestic and international investment, thereby increasing international investment flows, proving that Barbados is serious about innovation,” she added.
(SB)
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