Bank services for Micro and SME in small island countries

[w hiemann]

Dear all,

banking micro and small/medium enterprises in small island countries
(population < 2 million) is challenging.

I am trying to compile information on a number of small island
countries such as Solomon, Seychelles, Fiji, Tonga, Trinidad and
Tobago etc., etc. ) for a comparison. I want also find out, whether
lack of finance for M/SME is a result of difficult infrastructure
(physical access to bank branches) or whether perhaps the banking
sector itself or maybe regulatory issues make things more difficult
than it could be. In contrast, I think that Maldives for example
provide sufficiently finance for M/SME. But naybe other countries
perform much better?

Below is a questionnaire with data from Maldives. If you know about
banking M/SME of any small island country, I would very much appreciate
if you find some minutes to fill in the questionnaire, either add the
data to those presented below or just overwrite the data for Maldives.

In return I will make available the results to the community. I will
add some more statistic data about the particular countries.

Thank you very much for your kind cooperation!

W. Hiemann





COUNTRY Maldives
Total no. of islands : 1,190
Inhabited islands : 198
Dominant islands : 1
Islands with population <1,000, about : 150
Land area square km : 300

Population : 300,000
- in capital and vicinity (about 20 km) : 100,000
- in other economic centres/main island, roughly (+-20%) : 125,000
- on low populated islands (pop. <1,000) : 75,000

No. of local/national banks : 1
No. of foreign or joint venture banks : 4
No. of bank offices and branches, total : 27
- in capital and vicinity (about 20 km) : 10
- on islands with population < 10,000 : 17
- other banking services through : 5 boats

Name of most dominant bank for Micro and SME : Bank of Maldives
Ranking by assets in country : 1
Ownership
- State-owned in % : 75%
- Foreign-owned in % : 0%
- Public-owned in % : 25%

Banking technology applied by this bank
- ATM in capital and vicinity : 3
- ATM other locations : 0
- Cell/hand phone banking : no, but planned
- Internet banking : no

Have two or more banks outside the capital branches in the same
locations (competition)? : no
Estimated no. of loans/debtors in the banking system : 40,000
No. of Micro/Small loans (up to about US$1,000 equiv.) : 25,000

Typical loan conditions for Micro/Small loans (up to about US$1,000
equiv.)
- Interest, effective p.a. : 11.75%
- Typical tenor / maturity (months) : 36-48
- Typical securization : none
- Repayment sequence : monthly
- Grace period : no

Small/Medium loans (>US$5,000 - US$100,000 equiv.)
- Interest, effective p.a. : 11.75%
- Typical securization (value in relation to loan) : houses, boats
(200%)
- Repayment sequence : monthly
- Grace period : up to 6 months

Does this country has (number):
- Debtor information system : no (0)
- Savings and credit cooperatives : no (0)
- Leasing companies : yes (1)
- Venture capital companies : no (0)
- Loan insurance facilities : no (0)
- Moneylenders : no (0)
- Pawnshops : no (0)
- ROSCA, savings and credit groups : no (0)

Your suggestions and additional information : websites?
Your name and phone number : (up to you)
Your email address for obtaining the result :

Please return to: w.hiemann@gmx.de

Thank you very much!







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