The Caribbean Development Bank (CDB) is providing funding to the Development Finance Limited (DFL) of Trinidad and Tobago for development assistance to small and medium-sized enterprises (SMEs) for agricultural, industrial and/or tourism purposes.

The USD10 million industrial credit line from CDB will assist DFL in:

• increasing viable investments in the productive SME sector;
• providing improved and inclusive service delivery to SMEs; and
• improving its capacity to manage environmental and social risks in the project cycle.

CDB’s Director of Projects, Daniel Best notes, “There is a positive relationship between the level of entrepreneurship in countries and the rate of economic growth. This project will enable DFL to provide affordable finance to SMEs in Trinidad and Tobago for development activities, and contribute to increased productivity, employment and income for SMEs in line with the Government of the Republic of Trinidad and Tobago’s development agenda and Sustainable Development Goals.”

The line of credit aligns with CDB’s 2017− 2021 Country Strategy for Trinidad and Tobago and the Private Sector Development Policy and Strategy which reiterates that the development and transformation of the private sector is an essential pillar for achieving sustained economic growth and poverty reduction throughout the Region.

DFL is a Republic of Trinidad and Tobago domiciled development finance institution that extends loans to small and medium-sized enterprises, as well as provides foreign exchange services. CDB approved two previous loans of USD5 million each to DFL, in 1998 and 2000. These loans were fully disbursed to a total of 20 sub-borrowers.