09/20/2021 | Press release | Distributed by Public on 09/20/2021 01:15
To help improve small and medium enterprises' access to finance and contribute to job creation, the Minister of Commerce, Industry and Trade, Hon. Manqoba Khumalo relaunched the revised credit guarantee schemes administered by the CBE in an event held at the Hilton Hotel today. The two schemes, established by Government in the early 1990s, are the Export Credit Guarantee Scheme (ECGS) and Small Scale Enterprise Loan Guarantee Scheme (SSELGS).
CBE Deputy Governor, Felicia Dlamini-Kunene who was representing the Governor, explained that the role of the guarantee schemes is providing a cover where there is lack of adequate collateral for risks associated with business loans.
Revision of the schemes brings good news to the youth. Swati youth between 18-35 years can now benefit under the SSELGS whose guarantee covers are 98% for start-up businesses and 95% for existing businesses. Government has also authorized the on-boarding of four Non-Bank Financial Institutions (ENIDC, IDCE, FINCORP and YERF) to participate in the schemes through the provision of loans to eligible business ventures.
Speaking during the relaunch, Minister of Finance, Hon. Neal Rijkenberg, said the youth of our beautiful nation will be able to grow our economy if the Government continues to provide such financing models.
Minister of Commerce, Industry and Trade pledged Government's commitment to ensuring that the schemes are fully utilized to meet the needs of the business community and address any bottlenecks.
To revitalise the export market, agriculture sector is one of the focus areas. 'We consider ourselves to be the main beneficiaries of the scheme and we pledge our support towards ensuring the scheme is actively and effectively utilized,' Minister of Agriculture, Hon. Jabulani Mabuza remarked.
Visit https://www.centralbank.org.sz/development-finance/ to read more about the schemes.