Taking hands for Credit Guarantee Scheme

05 May 2021 | Banking

Standard Bank Namibia announced that it has partnered with the Credit Guarantee Scheme (CGS) to provide collateral cover of 60% for qualifying SMEs applying for finance from participating commercial finance institutions.
Standard Bank’s Enterprise Direct Manager, Felicia Jooste, said the bank has a desire to see SME’s grow and thrive in difficult economic conditions. “We are determined to help our small and medium businesses navigate these difficult prevailing conditions, hence the reason we joined the CGS.”
She added that SMEs are the lifeblood of the economy and employs thousands of people across various sectors.
“We have undertaken various initiatives to support our SMEs and we found the CGS to be an additional and worthwhile undertaking to participate in, not only to help them grow as companies but also to help them grow the country’s economy and by so doing alleviate a number of our social challenges,” Jooste noted.

Cover
Launched in August 2020 by finance minister Ipumbu Shiimi, the CGS provides collateral cover of 60% for qualifying SMEs that apply for finance from participating commercial finance institutions.
The CGS caters for SMEs with viable business plans that lack collateral to obtain loans. Commercial finance institutions require collateral to preserve their capital in the event of businesses being unable to repay their loans. By insuring credit granted to qualifying SMEs, the Scheme substantially reduces the collateral requirement for qualifying SMEs by 60%.
SMEs that may qualify for the Scheme are identified by the participating financial institution in terms of their own assessment of the bankability of the business plan.
Seeded with N$98 million from government and the Bank of Namibia, the CGS is operated as a smart partnership between Development Bank of Namibia (DBN), Namibia Special Risks Insurance Association (NASRIA) and the participating financial institutions.
Referring the CGS, DBN CEO Martin Inkumbi says that he hopes to see all financial institutions lending to SMEs joining the scheme. He points out that national policy is striving to develop economic activity in Namibia through establishing a conducive environment for SME startups and growth.

Similar News

 

New Agribank branch for Gobabis

1 day - 26 September 2021 | Banking

Omaheke region governor Pijoo Nganate asked Agribank to extend its visibility in other constituencies of the Omaheke Region via its outreach programmes in Gobabis on...

Hans meets the GDP trainees

1 week ago - 17 September 2021 | Banking

Bank Windhoek's Managing Director, Baronice Hans, met the nine Graduate Development Programme (GDP) inductees in Windhoek last week, where the graduates signed contracts detailing expectations...

Gradual recovery in rental rates

1 week ago - 15 September 2021 | Banking

Demand fundamentals around the residential rental market which have largely been permeated by Covid‐19 appear to have started to cool-off. The FNB Residential Rental Index...

International honour for local bank

4 weeks ago - 30 August 2021 | Banking

Bank Windhoek was recognised by the international Global Brands Magazine for exemplary work done for three of its local marketing campaigns: The advertising and promotion...

Gertze appointed as portfolio manager

4 weeks ago - 29 August 2021 | Banking

STANLIB has reinforced the expertise of its asset management team with the appointment of Sade Gertze (pictured) as a portfolio manager for their Namibia Money...

Stay vigilant, stay financially safe

1 month - 25 August 2021 | Banking

As we move towards the last quarter of the year, there is usually an increased trend in fraudulent activities.Fraudsters have become more sophisticated in their...

Graduate trainees welcomed

1 month - 19 August 2021 | Banking

Bank Windhoek's Graduate Development Programme (GDP) recently welcomed nine inductees. Launched in 2020, the bank’s GDP offers graduates 18 months’ on-the-job-training in preparation for permanent...

Motinga takes the lead at RMB and FNB

1 month - 11 August 2021 | Banking

Daniel Motinga has been appointed as the Public Sector Head for both RMB and FNB Namibia, as of 1 September 2021. “Motinga will also be...

Last will and testament: Now more important than ever

2 months ago - 27 July 2021 | Banking

“In the wake of the Covid-19 third wave, we have seen numerous instances where couples have died, leaving children behind and families reeling with the...

Better banking from home

2 months ago - 20 July 2021 | Banking

“We are again encouraging our customers to bank from home and to avoid branches, especially at month-end,” says Elzita Beukes, FNB Namibia Communications Manager.Given the...

Latest News

Kindergarten feeding changes lives

14 hours ago | Social Issues

Windhoek • [email protected] than 5 500 vulnerable pre-schoolers receive three free meals at 135 kindergartens across Windhoek’s poverty-stricken informal settlements.The programme is one component of...

International award for local leader

14 hours ago | Events

The Africa Leadership Awards took place virtually last week and this year, Namibia was added to the pool of women that have made an impact...

Award-winning Cassidy on this Friday

15 hours ago | Art and Entertainment

In this month’s edition of Night under the Stars at the Goethe Institute in the capital on Friday 1 October, singer Cassidy performs songs from...

Planning a holiday? Shark Island...

16 hours ago | Tourism

Namibia Wildlife Resorts (NWR) Limited, which initially planned to renovate its Shark Island campsite in the 2019/2020 financial year, had to postpone its plans due...

Sustainable investment opportunity for future-fit...

17 hours ago | Business

While 2020 was a record year for investment into the African tech startup ecosystem, with more startups raising more money from more investors than ever...

BIG speaks out about poverty...

1 day - 26 September 2021 | Social Issues

The Basic Income Grant (BIG) Coalition of Namibia said that it has taken note that the Ministry of Gender Equality, Poverty Eradication and Social Welfare...

NSS chooses new board

1 day - 26 September 2021 | Events

The Namibia Scientific Society’s (NSS) Annual General Meeting took place last Thursday (23 September).According to Waltraut Fritzsche of the NSS, the hall was filled with...

Michelle McLean seen in Times...

1 day - 26 September 2021 | Events

The International Association of Top Professionals over the weekend revealed a billboard in new York's Time Square of former Miss Universe, Michelle McLean after awarding...

New Agribank branch for Gobabis

1 day - 26 September 2021 | Banking

Omaheke region governor Pijoo Nganate asked Agribank to extend its visibility in other constituencies of the Omaheke Region via its outreach programmes in Gobabis on...

Load More