Statistics made available to Stabroek Business by the Institute of Private Enterprise Development (IPED) indicate a reduction in the number of loans provided by the facility in 2008 compared with the previous year, but a marginal increase in the monetary value of loans discursed during last year.
Last year, 5,092 borrowers received $1.485 billion in loans from IPED while in 2007 5,768 borrowers received $1.427 in loans from ther facility.
The focus of IPED lending during 2008 continued to be in the agricultural sector where 1,556 borrowers received loans totaling more than $680m. However, despite an increase in the amount borrowed for agriculture – from just over $548m in 2007 – more loans – 1606 were disbursed in the agricultural sector in 2007.
The distribution sector also continued to attract a high volume of lending from IPED though this sector recorded the most significant reduction in the number of borrowers last year compared with 2007. While 2,220 loans valued at $457.5m were disbursed to the distribution sector by IPED in 2007, both the number of borrowers (1841) and the value of loans ($446.5m) fell in 2008.
The monetary number of IPED loans to the livestock sector last year fell to 1078 from 1131 in the previous year while the total value of loans disbursed to the sector also fell from $194.7m in 2007 to $189.2m last year.
A similar downward trend was recorded in IPED loans to the manufacturing sector with 202 borrowers securing $44.7m in loans in 2008 compared with loans totaling $64.2m to 226 persons in the sector last year.
Meanwhile, 2008 saw a reduction in both the number of borrowers and the volume of IPED loans to the services sector last year compared with 2007. Last year, a total of 199 businesses in the services sector secured loans from IPED totaling $45.2m compared with 2007 when 341 borrowers in the sector secured just over $63m in loans from IPED.
Similar reductions were recorded in the number of loans disbursed by IPED in the transportation and fishing sectors last year.
While the total number of loans disbursed by IPED last year fell from to 5092 from 5768 in 2007, the value of loans rose from $1.427 billion in 2007 to $1,485 billion last year.