DSIP also targeted for SMEs: PM

By MATTHEW VARI

Sunday, January 29, 2017 (Sunday Chronicle, PNG)

RESPONDING to queries regarding the lack of capital for Small to Medium Enterprises (SMEs) in the country by Member for Anglimp South Wahgi, Joe Koim – Prime Minister Peter O’Neill has credited the role DSIPs have assisted in picking up the demand of SME in accessing capital.

The PM said District Services Improvement Program funds are tied in to support SMEs in districts with K1 million earmarked for it out of the K10 million each district gets.

“Over the past four or five years our government allocated through institutions like NDB (National Development Bank) to help Papua New Guineans get into business.”

“But the demand is very high, there is quiet increasing demand and we are not able to meet the demand because we are running out of money every time.”

“But of course one of the other initiative is through the DSIP where out of the K10 million, K1 million is allocated throughout the districts to support SMEs in the districts,” O’Neill said.

He said a testament to the intervention of DSIPs in stimulating business was evident through projects undertaken by members to help women groups through credit schemes.

“The success of that fund cannot be underestimated. When you look at these funds in the districts and when you look at contractors who are building classrooms, health centres and maintaining roads, women associations borrowing money from the DSIP programs- they are all Papua New Guineans in small to medium enterprises.”

“Small contractors building classrooms in remote areas throughout the country- it is not some big foreign companies doing it, it is our people doing it.”

“That has now totaled well over k1.5 billion every year- so that is supporting our SME industry in the country,” he said.

“So that is a program that we must support on all sides of the house. I think well into the future when we continually invest every year a consistent amount of funding through districts and provinces you will see a gradual overcoming of some of these challenges we have.”