The much publicized Central Bank of Liberia (CBL) loan scheme has hit Western Liberia, with 106 institutions from Bomi, Grand Cape Mount and Gbarpolu Counties benefiting LD$38million loan.
These counties are situated in Western Liberia.
On Monday, September 2, 2013, the 106 institutions received the LD$38 million at a program marking the official award program of the CBL Loan Extension Availability Facility (LEAF) in Tubmanburg, Bomi County.
The program, which was well-attended, attracted hundreds of Liberians, with women dominating. Of late, certain individuals in some quarters of Monrovia criticized the CBL loan scheme, asserting that it is risky to give loans to Liberians on grounds that Liberians normally default on paying back loans given them.
But the Executive Governor of the CBL, Dr. J. Mill Jones, dismissed the criticism that it is a risk to give loans to Liberians.
Speaking when he delivered a statement at the official award program of the CBL Loan Extension Availability Facility (LEAF) in Tubmanburg, Bomi County, Dr. Joes disclosed that the CBL has received 100% payment over two periods.
Said Governor Jones: "The repayment is encouraging. Microfinance institutions and credit unions have paid 100% for two quarters; it is therefore not a risk for us to give loans to Liberians as some people want to think."
Dr. Jones again explained that the loan scheme being embarked upon by the CBL is meant to get all Liberians to feel the impact of their economy and not one group. Listen to the CBL boss: "If we say we will fight poverty, we must fight poverty where poverty is, and poverty is at the lowest income level.
He continued: "We have to look especially at those at the lowest end at the income ladder." Commenting on the loan the LD$38 million loan the CBL gave the three counties, he emphasized that the aim is to empower all Liberian businesses both big and small.
Dr. Jones informed the gathering that to enhance the empowerment of Liberians at a larger scale, he said the CBL was about to establish rural financial institutions for rural dwellers to easily access loans to boost their businesses.
He furthered that the CBL would use commercial banks to help the rural dwellers meet up with his goal and that beneficiaries would be able to buy shares depending on their financial capability.
Moreover, he mentioned that the institutions would also be a saving point for business entrepreneurs and others who would like to save some for future use.
According to him, the activity would as well empower people to benefit from a money transfer system that would allow them receive money and send money to their families and love ones in other places. The CBL boss noted that the profit generated would not go to the bank, but to the owners in a particular area.
Meanwhile, the CBL boss used the occasion to urge the recipients of the loan to be conscious of payment and must not allow the bank to regret giving out the country's money, something which has the propensity to undercut the good loan scheme initiative.