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Credit bureaus, properties registry to boost MSMEs

Published:Wednesday | December 3, 2014 | 12:00 AM

The Credit Reporting Act and the Security Interest in Personal Properties Registry will benefit micro, small and medium enterprises and contribute to the country's goal of economic growth, Earl Samuels, assistant general manager, group finance and mortgage operations, Jamaica National Building Society (JNBS), told small and medium-size business operators.

Samuels was speaking at the business conference mounted by the Institute of Chartered Accountants of Jamaica, under the theme, 'Going For Growth', at the Jamaica Conference Centre, recently.

"We at Jamaica National Building Society, welcome the establishment of credit bureaus, made possible by the passing of the Credit Reporting Act," Samuels said.

"The Bank of Jamaica granted two licences for credit bureaus and, since the passing of the Act, Creditinfo Jamaica Limited came on stream last September.

"There may be some trepidation as to whether or not financial institutions will actually lend to persons, based on their credit history. However, we believe that this is a step in the right direction and will benefit micro and small entrepreneurs who want to expand their businesses," Samuels added.

He reasoned that the Security Interests in Personal Property Registry would also benefit small businesses as it "afforded many more persons the opportunity to access credit and allow intangibles, such as intellectual property and other forms of personal property, to be used as collateral to secure financing for business".

"The Bill is designed to support an enabling environment for businesses and I believe that it will contribute to economic growth and job creation," he said.