Loans through AFIs
Loans through Approved Financial Institutions (AFIs)
The Development Bank of Jamaica (DBJ) seeks to stimulate and enhance the economic and social development of the country by working in tandem with the strategic focus of the Government of Jamaica. Consequently, the Bank continues to provide affordable funding to viable projects that facilitate growth and development in all areas of the economy.
The Loan Origination and Portfolio Management Department (LOPM) has the direct responsibility of managing and administering DBJ’s credit lines. LOPM works closely with 12 approved financial institutions (AFIs) that have been
approved to on-lend DBJ’s funds to their clients, who are considered sub-borrowers of the DBJ.
AFIs include commercial and merchant banks, credit unions, and the National People’s Co-operative Bank of Jamaica Limited, among others.
DBJ funding is channelled to clients with viable developmental projects through AFI that undertake the credit evaluation and the loan supervision. The funds are provided at attractive interest rates to clients involved in the productive sectors, such as agriculture, agro-processing, manufacturing, tourism, mining and the service sectors.
The current AFIs are:
Commercial Banks
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Bank of Nova Scotia Jamaica Ltd.
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CIBC First Caribbean International Bank Ltd.
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First Global Bank Ltd.
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National Commercial Bank Jamaica Ltd.
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Sagicor Bank Ltd.
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RBC Royal Bank Jamaica Ltd.
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Citibank N. A..
Merchant Bank
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JMMB Merchant Bank Ltd.
Other AFIs
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Jamaica Cooperative Credit Union League
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Jamaica Money Market Brokers
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National Export-Import Bank Jamaica Ltd.
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National People’s Cooperative Bank Jamaica Ltd.
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Mayberry Investments Ltd.
Micro Finance Institutions (MFI)
The DBJ has lent over $2 billion to micro finance institutions (MFI) since the Micro Finance Window was established in 2009.
The Bank is cognizant of the role that micro, small and medium-sized enterprises (MSMEs) contribute to the development and stimulation of the Jamaican economy and continues to provide wholesale funding to eight MFIs for on-lending to entrepreneurs.
The current accredited MFI are:
* Access Financial Services Limited
* JN Small Business Loans Limited
* NationGrowth MicroFinance Limited
* Micro Credit Limited
* St Thomas Co-operative Credit Union
* St. Elizabeth Co-operative Credit Union
* First Heritage Co-operative Credit Union
* McKayla Financial services Limited
* First Union Financial Company Limited
* Proactive Financial Services Limited
* Bull Investments Limited
The DBJ has been designated as the Government of Jamaica’s lead agency for co-ordination of all related MFI industry interventions. In this regard the DBJ is assisting micro finance institutions to achieve maturity and maximum outreach by facilitating access to capital and the professionalization of operations.
DBJ loans and special lines of credit
The DBJ is a self-financing entity and loans are negotiated from local and international multinational organizations and other financiers which include the PetroCaribe Development Fund, Caribbean Development Bank,
China Development Bank, OPEC Fund for International development (OFID), and the World Bank.Funding is then made available to AFIs and MFIs for on-lending to viable projects in the productive sector, at attractive interest rates and repayment terms.
ENERGY
Primarily because of the high cost energy to Jamaica, the DBJ has made the availability of funding for energy projects a priority. Funding sources include the Bank’s own funds as well as the PetroCaribe Energy Fund, the Government of Jamaica-World Bank Loan and a grant from the Inter-American Development Bank (IDB).
Loans are available for retrofitting small and medium-sized enterprises to facilitate energy efficiency, energy conservation and the introduction of alternative energy sources.