By Vanessa Narine
THE Small Business Development Fund (SBDF), a non-profit entity which finances micro, housing and other development loans, made a surplus of $37,177,692 at December 31, 2008.

A cross section of stakeholders

Its balance sheet showed $108, 967,767 for the same period when the unqualified auditor’s report, compiled by chartered accountants, Bisheswar, Seebarran and Company, was delivered at the Annual General Meeting (AGM) yesterday.

SBDF was established in 2002 to promote socio-economic development for poor, indigenous women and others who are left out of the development process.

The facility finances economic activities in agriculture, agro-processing, manufacturing, craft, aquaculture, retail trading, export and service sectors.

However, after the financial statements were adopted by the gathering, Canadian High Commissioner, Mr. Charles Court, who made the feature address, underscored the impact of the global financial crisis on local growth.

He said it teaches how important access to credit is and pointed out that services offered by SBDF, such as micro loans and services, are significant to people, their families and the country.

“Guyana has huge potential and resources waiting to be developed,” the diplomat acknowledged.

Court said, when this is coupled with accessibility to financing, security and the proper legal framework, the fruits of entrepreneurs’ labour would be recognised.

GROWTH
Speaking at Hotel Tower, on Main Street, Georgetown, he said real growth begins with local growth.

Canadian High Commissioner, Mr. Charles Court, addresses yesterday’s meeting. Seated at right are members of the head table.

Another speaker, Mr. Richard Bakewell, Economic Officer at the United States (U.S.) Embassy, agreed that availability of financing, particularly for micro purposes, is integral to nation building.

He said micro financing is necessary in economic development when individuals without access to traditional means are the ones in question.

Bakewell said, for micro financing to facilitate economic development, the building blocks needed are a dedicated organisation, like SBDF and the commitment of borrowers to see their vision.

He added that, in times of economic downturn, opportunities present themselves as presently with the global financial crisis.

“In crises, we have opportunities and they should be seized for economic development and innovation,” Bakewell emphasised.

He challenged Guyanese to try and diversify their activities and markets to secure a better economy that can ride the ups and downs of economic downturns.

Investment Manager for the Caribbean and Latin America of the International Finance Corporation (IFC), Mr. Adel Meer concurred with the exhortation and added that, because micro financed operations are done on a subsistence level, they are not as affected by economic downturns.

He posited that, with enough diligence, there is good business to be made.

In this regard, the Chairman, Mr. Sattaur Gafoor said SBDF has played a significant role in the development process.

LOANS
He said, since its inception, SBDF funded 3,971 loans, in addition to managerial and technical training to a large number of entrepreneurs.

Gafoor said, in 2008, 540 micro and small loans, to the value of $147,245,000, were granted and, in the process, created and sustained approximately 1,368 jobs in the economy.

However, he warned that there will be challenges as SDBF cannot meet all the demands.

Its Managing Director, Mrs. Manjula Brijmohan elaborated that there will never be available all the resources that might be needed but entrepreneurs must make the best of what they get.

“There are people, resources and technical expertise available for assistance, so everyone must work hard and not be complacent as they develop themselves and their society,” she said.

Brijmohan said participation by Guyanese would not only foster development but pride in a nation as well.

She said SBDF recognises the importance of helping people with vision for themselves, who, with a micro or small loan, can make a difference.

Brijmohan said the activities engaged in by SBDF are fueled by the organisation’s vision to create an equitable society through integrating people, strategy and best practices.