By: Tiana Cole | HGP Nightly News |
Micro and small enterprises (MSEs) across Guyana are set to benefit from expanded access to financing following the signing of a US$5 million loan agreement aimed at strengthening support for women, youth, and rural entrepreneurs.
The financing will be channelled through the Institute of Private Enterprise Development (IPED), further enhancing its capacity to provide microcredit to some of the country’s smallest and most vulnerable business operators.
The agreement was signed with the Inter-American Development Bank (IDB), reinforcing the long-standing partnership between Guyana and the international financial institution in advancing private sector development.
Delivering remarks at the signing ceremony, Senior Minister in the Office of the Prime Minister with responsibility for Finance, Ashni Singh, commended the IDB for its continued support, noting that IPED has remained innovative and responsive to the needs of small entrepreneurs for more than four decades.
He highlighted that over its 40 years of operation, IPED has disbursed more than 147,000 microcredit loans valued at over $64 billion Guyana dollars, supporting thousands of entrepreneurs nationwide and playing a critical role in inclusive economic development.
Currently, IPED serves approximately 5,000 active clients, with women accounting for about 40 per cent of its customer base, and nearly 5 per cent of borrowers are under 25. The institution also maintains a strong presence in rural and hinterland communities, where access to traditional banking services is often limited.
The US$5 million financing package includes US$2.5 million from IDB Invest, the private sector arm of the IDB, and an additional US$2.5 million from the Japan International Cooperation Agency Trust Fund for Achieving Development of Latin America and the Caribbean, which is administered by the IDB.
The agreement was signed by Lina Salazar, IDB Country Representative, and Jagesh Hari Prashad, Chief Executive Officer of IPED.
Officials said the new financing will allow IPED to expand its lending portfolio, improve outreach, and continue supporting entrepreneurship as a key driver of employment creation and economic resilience across Guyana.
