TDB enhances private sector development through growth fund

dcdscsdaasdThe Tonga Development Bank (TDB) is implementing the Government of Tonga’s Growth Facility and Student Loan Scheme or also known as ‘Government Managed Fund’. The Fund has allocated T$3.05 million for disbursement of viable loans to the public at 1.0% interest, and up to T$10 million was allocated for disbursement of viable loans to the public at 4.0% interest, targeting growth key sectors and industries in Tonga.

The Government of Tonga, in collaboration with TDB, continue to focus on the development of the private sector as the engine of growth. This will help raise the government revenue which will provide more services to the public. The Fund finances key sectors of the economy that will encourage growth in economic activities including the following: (i) Agriculture Marketing and Production Fund, (ii) Fisheries Development and Export Fund (iii)Tourism Loan Fund, (iv) Manufacturing Loan Fund, (v) Livestock Loan Fund, (vi) Forestry Loan Fund, (vii) Construction and Utilities Loan Fund, (viii) Retail & Wholesale Loan Fund, (ix) Other Priority Sectors, (x) Student Overseas Tertiary Education Loan Fund.
As of December 2014, the Fund has already disbursed the amount of T$2.3 million to 34 clients in different sectors all over the country.

TDB’s ‘Government Managed Fund’ was given a Merit Award in the 2015 Outstanding Development Project Awards under the Local Economic Development category.