Namibia launches financing facilities tailor-made for SMEs

Source: Xinhua| 2019-11-06 22:44:49|Editor: yan
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WINDHOEK, Nov. 6 (Xinhua) -- Namibia's Minister of Finance Calle Schlettwein on Wednesday launched an SME financing strategy and a joint partnership framework between the public and the private sector financiers.

The minister also launched two other mutually-reinforcing products, namely the Skills-based Lending Facility for the Youth and the Funding Facility for the 121 Constituency Youth Enterprises.

"The bid for a designate SME financing strategy and the specific funding facilities for youth enterprises is to unlock the growth, job creation, and self-employment potential of the SME sector," he added.

Furthermore, he said the policy imperative is to achieve the twin objectives of enhancing access to affordable finance and fostering entrepreneurship and SME development across the broad range of economic sectors in all regions of the country.

"The SME financing strategy is a smart partnership between and among the government, the Development Bank of Namibia (DBN), commercial banks, and other private sector financiers," he said, adding that the Skills-based Lending Facility for the Youth will be hosted by the Ministry of Finance in collaboration with DBN.

According to the minister, the Funding Facility for the 121 constituency youth enterprises is hosted by the Ministry of Sport, Youth and National Service in collaboration with DBN as well.

"It aims to facilitate the establishment of 121 youth enterprises in all constituencies, in line with the aspirations of Youth Enterprise Development sub-pillar of the Harambee Prosperity Plan," he added.

Meanwhile, Schlettwein said the facilities will become operational on Dec. 1 and entrepreneurs and SMEs are invited to start placing their applications from that date.