President Dr Mohamed Irfaan Ali announced a list of initiatives aimed at improving Guyana’s financial sector, making access to banking and lending services easier for citizens and businesses.

President Ali has since tasked a team comprising the Ministry of Finance, the Bank of Guyana, and commercial banks with identifying loopholes in the sector.

He has given them four weeks to devise an action plan.

During a media conference on Tuesday, the president explained that this action plan will focus on relaxing documentary conditions for borrowing and opening bank accounts, especially for new businesses, while encouraging banks to lend more based on movable assets as collateral.

The president also directed measures to be undertaken towards operationalising the movable assets registry in support of this effort.

“I’ve given instructions that steps be taken to ensure the registry becomes operational, most importantly, promoting more electronic transaction by online banking, faster payment systems and other electronic means, ensuring every Guyanese can have a bank account, and…at the end of this whole organisation, can conduct a financial transaction within minutes from wherever they are,” the president stated.

Besides the financial sector reform, President Ali announced ongoing efforts to establish a Small and Medium Enterprise (SME) Development Bank as part of government election promises.

The bank will advance credit for small businesses at zero interest with fewer collateral requirements.

To hasten this commitment, an expert committee has been entrusted with formulating the model of the SME Development Bank.

They will need to study global experiences, delineate the legal and institutional framework, and identify the financial structures required to operationalise the bank. (DPI)