The Sugar Cane Growers Fund (SCGF) has announced a significant reduction in interest rates for all Business Link Pacific (BLP) loans, bringing the rate down from 5% to 3.5%, effective immediately. SCGF Chief Executive Officer, Raj Sharma, explained that while the actual interest rate is set at 4.5%, a subsidy from BLP covers an additional 1% until funding runs out, making this an appealing opportunity for farmers.
Sharma noted the positive impact this reduction can have, as many farmers have already leveraged these loans to establish supportive businesses for their families. The BLP loan facility, initially launched on May 23, 2022, provides loans ranging from $1,000 to $30,000, contingent upon farmers treating their farming activities as a business.
The program is administered by DT Global, acting as the Managing Contractor for the Pacific SME Finance Facility Pilot Programme, in collaboration with New Zealand’s Ministry of Foreign Affairs and Trade. This partnership allows access to capital for small and medium-sized enterprises within the sugarcane sector, encouraging a vibrant economic environment.
Further efforts include capacity-building initiatives, with training sessions being organized to enhance financial management skills among farmers. This initiative symbolizes considerable support for the sugarcane farming community in Fiji, aiming to improve economic resilience and promote sustainability in agricultural practices.
Such financial assistance and training signify an encouraging step towards empowering local farmers, nurturing their businesses, and fostering growth within Fiji’s agricultural economy. The interest rate reduction and ongoing support demonstrate a proactive approach to enhancing the livelihoods and futures of sugarcane farmers in the region.
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