Potential microfinance

November 14, 2015

MICROFINANCE is a sector that has a lot of potential for creating jobs and boosting economic activity and, in turn, contributing to economic growth in the country.

These were the words of the central bank’s governor Barry Whiteside at the National Microfinance Awards on Friday night.

“It involves among other things, extending loans, some of them as low as fifty dollars, so that people can start their own small businesses and generate income for their families,” he said.

Microfinance, when done well, he said had the ability to empower people.

“When our most vulnerable are empowered with financial support to take care of their family, they can pay for the basic needs of food, water and shelter, health care services, a good education for their children and enjoy a better living standard.

“When this happens, there is of course less pressure on the State, but it also surely must bring a sense of pride to our people.

“I mentioned that it is important that microfinance needs to be done well.

“It is not just about giving out small loans and leaving the recipients to get on with whatever it is they are doing.

“It is about also providing the necessary support structures and skills development so that the people are able to sustain their businesses.”

Source: Fiji Times