To mitigate the risks associated and faced by micro, small, and medium enterprises (MSMEs), the Fiji Development Bank announced that it is considering insurance coverage for them.
The bank recently secured a guaranteed commitment of about $7 million from the French Development Agency, a body that will play an important role in supporting business owners for their benefits and loans.
According to a report from FBC News, Fiji Development Bank chief executive Saud Minam reiterated the bank’s dedication to supporting business owners, as well as ensuring that their policies align with the demands of the industry.
“These sorts of guarantees allow us to add-ons. You’ve got a business going on for $15,000 to $20,000 but now you want to take it to the next level… That guarantee will support us to provide them more loans. You know, you’re in remote area, you do not have the electricity, but you have a business going on, you need to have solar panels – we can provide those sorts of things again,” Minam said.
The bank has also obtained accreditation from the Climate Fund, a commitment in line with the firm’s initiatives to sustainability. To expand on this, the bank said that it is determined to comply with the requirement set forth from this recognition.
Minam also stressed the importance of MSMEs in the economic growth of Fiji, but also said that they face limited access to some financial services, including insurance.
Elsewhere on the island, FijiCare recently posted its 2022 results which highlighted a strong showing thanks to the post-pandemic recovery.
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