…GBTI proud
ONE year later, the Guyana Bank for Trade and Industry (GBTI) is very proud of Women of Worth (WOW), a collaborative effort with the Ministry of Human Services and Social Security, with 1029 loans approved, valuing $190M and with a 96 percent repayment rate.
“The number of loans disbursed to date, and the high repayment rate augurs well for the success of this WOW loan Plan. With 1029 women benefiting from this Loan Plan, we believe our objectives of empowering women, helping them to develop their entrepreneurial skills and gain financial independence by having a sustainable means of income, integrating them into the business sector, helping to improve their social and economic status and that of their children, are being realised and we are encouraged by these results,” said GBTI in a press release yesterday.
It said GBTI has committed a total sum of $500M to the WOW loan plan so there is room for more women to benefit.
The Bank said that five loans have been repaid so far. These, the Bank stated, are being repaid ahead of scheduled repayment dates, and three of those customers are presently reapplying for more loans. GBTI said the areas of business for the five women who have repaid so far are poultry farming, baking, clothes vending, and hairdressing.
Among the criteria required to access the loan are, that the applicant has to be registered with the Ministry of Human Services and Social Security Single Parent Registry and be issued with an Introductory Letter by the Ministry or its Representative Agency; that the applicant possesses a skill or be engaged in a small business; that the applicant must be between the ages of 18-60; and that the applicant must be earning under $40,000 per month, although some flexibility is accorded here.
All of the applicants are required to have their Identification Card/Passport/Affidavit of Identity; one Passport sized photograph of applicant; Proof of Address (utility bill, rental receipt, etc)/Affidavit to prove address; one Character Reference for applicant; Business Plan inclusive of a Cash Flow projection for the next 12 months prepared on a monthly basis (GBTI will provide assistance with the preparation of this document) -the bank helps the applicant to complete this; and statement of outstanding loans with other banks, persons and/or hire purchase.
An applicant can borrow from a minimum of $100,000 to a maximum of $250,000 at a rate of 6 percent interest to establish, upgrade or expand a small business. Such businesses include catering, dressmaking, poultry rearing, floral arranging, hairdressing, childcare, craft and novelty, fabric designing, etc.
GBTI said that in partnership with the Ministry of Human Services and Social Security it has, to date, conducted outreach programmes in Linden (Region 10); Hampshire, Corentyne (Region 6); Anna Regina, Essequibo Coast (Region 2); Buxton, East Coast Demerara (Region 4); Fort Wellington (Region 5); and Madhia (Region 8).

“We were planning to conduct a mini-launching in Lethem on Saturday June 11, 2011. However, with the recent flooding in (Region 9), the launching has been put on hold,” the Bank said.
It said the credit officers of all of its nine branches ( Water Street, Regent Street, Corriverton, Anna Regina, Vreed-en-Hoop, Parika, Providence, Diamond and Lethem) are equipped to help eligible applicants and offer advice.
Further, GBTI has entered into an agreement with the Guyana Post Office Corporation to remit clients’ installments to the Bank. This is because in areas such as Linden and Wismar in Region 10 and between Whim to New Amsterdam in Region 6, there is no branch of GBTI and clients would have to travel long distances at significant cost, just to pay their installments. GBTI said on average it cost $1,000 in transportation costs to pay an installment. With the post office arrangement in place, a transaction fee of $300 would replace the high cost of travelling, allowing the additional $700 to be used possibly in debt servicing.
WOW WILDLY SUCCESSFUL
Meanwhile, Minister of Human Services and Social Security Ms. Priya Manickchand has indicated that the WOW Programme recorded many successes since its inception despite the challenges of the initiative.

Speaking at the recent launch of ‘Feminition’ Women’s Exposition 2011 at the Guyana International Conference Centre, Manickchand pointed out that the programme is a perfect example of public/private partnership working to benefit all Guyanese.

As to the benefits of this, Manickchand explained, “The Guyana Bank for Trade and Industry (GBTI) has joined in the government’s goal of providing credit to many women who, prior to WOW, were unable to acquire loans for lack of collateral; so we had to find ways around these obstacles.”

The minister noted that as Guyanese, “we have proven ourselves resourceful over the years in overcoming many such obstacles, especially through the WOW loan programme, which has been successful in upgrading single parents out of poverty.

As to the success of the initiative, Head of the Credit and Corporate Services Department of GBTI, Shaliza Shaw, said that since the launch of the programme last year, the successes have been many, a fact which is evident in the large amount of applications received.