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January -March, 2017
20 Pages
Small Businesses get
BIG Funding Boost
Fresh Magazine
January-March, 2017
Fresh Magazine
January-March, 2017
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ette l e m HO C N FRE t n Gia
in GREECE " g in w o r h "Pot T
Easter Flowers In France, a giant omelet is served up in the main square of several towns around the country. Last year thousands gathered in the town of Bessieres to watch dozens of cooks make a giant omelette to celebrate Easter. The omelet used 15,500 eggs and fed about 10,000 people.
On the morning of Holy Saturday, the traditional "Pot Throwing" takes
Global EASTER Traditions
place on the Greek island of Corfu: People throw pots, pans and other earthenware out of their windows, smashing them on the street.
Tulips are considered around the world as the quintessential Easter flowers.
Via Crucis in ROME
On Good Friday the Pope commemorates the Via Crucis (Way of the Cross) at the Colosseum: A huge cross with burning torches illuminates the sky as the 14 Stations of the Cross are described in several languages. Mass is celebrated on the evening of Holy Saturday, and on Easter Sunday, thousands of visitors congregate in St. Peter's Square to await the Pope's blessing from the church's balcony, known as "Urbi et Orbi" ("To the City and to the World"). Fresh Magazine
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SAVVY
Shopping
Big Boost for Small Businesses In a press conference on December 21, 2016, the Minister of Finance, Audley Shaw, announced the government’s policy action to reduce the capital requirement for SME loans guaranteed by the Development Bank of Jamaica (DBJ). This was very welcome news for small and medium-sized enterprises (SMEs), as one of the most persistent problems affecting small and
small and mediumsized businesses everywhere, is access to financing. The ability to access adequate or serviceable financing has been cited in many studies as the most important factor that determines the survival and growth of small and mediumsized businesses in both developing and developed countries. The Government of Jamaica has identified the SME sector as an important
. . . Is YOUR
partner in helping to magazine of achieve the country’s Fresh Ideas! economic growth target. It is anticipated Find what you that this reduced riskneed to: weighting to DBJ’s Get great value CEF-backed guaranfor your money tee should incentivize lending to SMEs, Create new inthereby enabling come streams them to access inImprove your creased levels of filife nancing. In this issue of Achieve your Fresh! Magazine we goals have partnered with Succeed in the DBJ to feature acyour endeavors. credited financial institutions (AFIs) and Email your comthe new financing opments, questions, ideas and suggesportunities available tions to: to SMEs which, we believe, will be of vital <marketfresh.magaz interest to owners of ine@gmail.com> small and mediumsized businesses in Editor: - Carmen Richards Jamaica. Email feedback to: The Editor: <marketfresh.magazine@gmail.com>
Want to shamelessly plug your business? Reach over 45,000 Jamaicans in the Diaspora! Email us at: marketfresh.magazine@gmail.com
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January-March, 2017
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What you should know about MOBILE MONEY Avant-garde businesses in Jamaica have been chomping at the bit to see mobile money introduced to the market since cell phone usage took root early in the first decade of the new millennium. Fast-forward to 2013 and immediately that the legislation caught up with the ambitions of the market, the island’s largest bank, National Commercial Bank (NCB) launched, in August 2016, its branded mobile money service, Quisk, in partnership with the United States-based technology company, Quisk Incorporated. And early in February, 2017, Grace Kennedy
launched its mobile money service solution, GK MPay. While these two brands are major players in the market, there are other, smaller entrepreneurs offering mobile money solutions. Mobile money generally refers to payment services operated under financial regulation and performed from a mobile device. It allows users to pay for a wide range of goods and services with a mobile telephone instead of using cash, cheques or credit cards. It also eliminates the need to visit banks or bill payment outlets to add to accounts, as well as the need to hold bank accounts. Its safe, easy electronic payments make Mobile Money a popular alternative to bank accounts. It can be used on both smartphones and basic feature phones.
CAC wants ‘bad gas’ compensation
The Consumer Affairs Cosmission (CAC) has been pressing for some level of compensation to be paid to motorists as a result of the incidence of damaged vehicles caused by contaminated gas on the market in 2015 and 2016. Motorists began complaining of the adverse effects of contaminated gas on their motor vehicles in November 2015 and the Commission subsequently began receiving complaints from Fresh Magazine
several motorists detailing damage to the engine of their motor vehicles after purchasing “bad gas” from several petrol stations. On December 13, 2016 the CAC participated in discussions with the key stakeholders of the petroleum industry with an aim to continue its negotiations for compensation on behalf of aggrieved motorists. “We met with the Jamaica Association of Petroleum Marketers and Petrojam Ethanol to continue the discussion on how best to find some relief for some of the loss consumers suffered after their vehicles were damaged,” Mrs. Dolsie Allen, CEO of the Consumer Affairs Commission said. However, the CAC is confident that while negotiations are ongoing, the public will be informed of some positive conclusion to the issue early this year. “The discussions are going well and we remain positive that very early in 2017, we will have some positive news for consumers,” Mrs. Allen said.
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Big Funding Boost for SMALL BUSINESSES Gov’t, BOJ, reduce capital requirement for SME loans guaranteed by the DBJ On November 30, 2016, the Bank of Jamaica (BOJ) approved the Development Bank of Jamaica’s (DBJ) application for a reduction in the risk weighting of its guarantees. This has been hailed in many quarters as a major achievement because of the tremendous benefits that the decision will bring to the small and medium-sized enterprises sector. BOJ Governor Brian Wynter’s letter to DBJ’s Managing Director, Milverton Reynolds stated that, following its review, the DBJ was approved as a lending agency whose Credit Enhancement Facility (CEF)-backed guarantees qualify for 20 percent risk weighting in respect of the CEF-guaranteed portion of Jamaican-dollar loans booked by deposit-taking institutions licensed under the Banking Services Act. The approval was granted on the basis of DBJ being a wholly-owned Government institution and BOJ's assessment of the performance of the CEF since its inception in 2009. This approval provides an incentive to the DBJ’s network of approved financial institutions (AFI) to make loans.
More SMEs can access loans AFIs (which include commercial and merchant banks, credit unions and other financial institutions) are now able to allow SMEs to reduce the amount of capital retained against the CEF-guaranteed portion of loans from 10 percent to 2 percent, thereby increasing their return on these assets. In other words, whereas $10 million of capital could previously support $100 million in CEF unsecured loans, that same $10 million in capital will now support $500 million in CEF secured loans. Fresh Magazine
The level of confidence in the CEF is now higher as the AFIs, most of which are also regulated by the BOJ will be more comfortable that the CEF is reorganized. AFIs will be able to make more loans and more SMEs will be able to access loans, ultimately enabling more access to finance in Jamaica.
The Credit Enhancement Facility The CEF was implemented in 2009 with the objective of: Providing an incentive to AFIs involved in SME lending, Providing loans to qualified SMEs, for viable projects, by providing additional security coverage on SMEs loans. Allowing the AFI to accept non-traditional collateral which it may not normally accept, and grant coverage based on criteria such as the borrower’s character and the future cash flows of the business. Reducing the risk exposure to the AFI that is normally associated with providing credit to SMEs. Under the programme, the DBJ will guarantee loans that are borrowed from both its own resources and from the AFIs’. Under the programme, the DBJ will guarantee loans that are borrowed from both its own resources and from the AFIs’. The Bank will guarantee: 50% of SME loans up to J$15 million 80% of Energy Loans up to a maximum of J$15 million 80% of small loans up to J$6.25 million up to a maximum of J$5 million
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Fr Freequently-asked QUESTIONS about the Developm pmen ent ent Bank of Jamaica Q. What is the ROLE of the DBJ? The Development Bank of Jamaica Limited (DBJ) is a corporation that is wholly owned by the Government of Jamaica (GOJ) and is mandated to foster economic growth and development of strategic sectors of the Jamaican economy. Q. What is the DBJ’S MISSION? The DBJ’s mission is to provide opportunities for all Jamaicans to improve their quality of life through development financing, capacity building, public-private partnerships and privatization solutions in keeping with GOJ policy. Q. What SECTORS Does DBJ Support? The DBJ supports lending to the productive and service sectors such as Agriculture; Agro-processing; Agri-Business; Energy; Information Technology, Infrastructure, Manufacturing and Mining; Tourism; Business Process Outsourcing; Fresh Magazine
Animation; Creative Industries; and Retail & Distribution, for SMEs.
(CEF) Voucher for Technical Assistance (VTA) Energy Audit Grants
Q. What are the PRODUCTS and SERVICES offered by the DBJ to MSMEs? The DBJ offers a suite of products that can benefit MSMEs. They currently include: Loan funding through Approved Financial Institutions (AFIs) and Microfinance Institutions (MFIs) Partial Guarantees (known as Credit Enhancement Fund
Q. How can I get a LOAN from the DBJ? DBJ loans are disbursed through Accredited Financial Institutions (AFIs), that is, commercial banks and credit unions; as well as through many of the newer, microfinance businesses. To access a DBJ loan, visit any one of the AFIs, discuss the loan proposal and request funding under the DBJ onlending programme.
January-March, 2017
The AFI w i l l appraise your project proposal and once the loan meets the guidelines of the AFI and the DBJ, and the assessment is deemed favourable, the proposal and loan application are submitted to the DBJ. Q. Does the DBJ require COLLATERAL? The collateral requirements are determined by the AFI facilitating the onlending and carrying the loan risk. 8
FGB-SME Summit: Attendees at the inaugural Small Business Summit of First Global Bank, pay keen attention during the presentation of the Finance Minister, Audley Shaw. The event was held summer 2016 at the Knutsford Court Hotel in New Kingston.
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Jamaican EASTER Traditions Easter is definitely the most important season in the Christian calendar and arguably the most well-known of all religious Holy Days.
Bun-and-Cheese: Only
genuine, fruity, spiced “Easter bun” and cheese is good enough for Jamaica’s quintessential Easter treat.
However, like many religious traditions, it is a mix of both religious and secular Fish: With red meat off the elements. The word “Easter” for exammenu, seafood, in general ple, is said to be derived from ‘Eostre,’ a and fish, in particular is high Teutonic goddess of spring and fertility. on the menu of most JamaiIn fact, there are many traditions assocican homes and restaurants ated with the secular observation and at Easter, especially escoveitched fish, often celebration of the season of Spring, that served with bammy, another can be found in celebrations of Easter Jamaican specialty. around the world. In Jamaica, our Easter religious traditions are similar to the rest of the Christian world and our Easter secular traditions include both some of those that are similar to the rest of the world, as well as some that are quintessentially Jamaican. The Christian observations of Easter begin with “Holy Thursday”, followed by “Good Friday,” Easter Saturday” and “Easter Sunday.”On these pages, we have highlighted some well-known, and popular, secular Chocolate and Easter Egg: AlJamaican though this is an imported tradition, Easter Traditions. chocolate is an endemic Jamaican product so, in many younger families, hiding colored eggs and eating chocolate bunnies is a special Easter treat.
Egg-Setting: An egg white is dropped into a glass of
water before morning on Good Friday. As the sun rises, the pattern or shape that the egg white creates in the water is considered to be a prediction of the future for the person who set the egg. Fresh Magazine January-March, 2017
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Easter Egg Hunt: Most of
the secular activities of Easter celebrations involve fun events for children and Supreme Ventures, the islandâ&#x20AC;&#x2122;s largest betting, gaming and lotteries company, has staged an annual Easter Egg Hunt for local children for the past five years at the Hope Botanical Gardens in Kingston. In this 2016 photo, the late CEO, Mr. Brian George, gives his winning smile as he motivates a group of boys in the Egg Hunt.
Lovers of dance look forward to the Easter
Tradition by the National Dance Theatre Company (NDTC) of a sunrise act of worship, which they mount, in association with The Little Theatre Movement and present on Easter Sunday morning at 6 a.m.
Good Friday and Easter Sunday the two holiest days of the Christian annual calendar worldwide. It commemorates Jesus Christâ&#x20AC;&#x2122;s Crucifixion, Death and Burial (Good Friday) and His Resurrection (Easter Sunday) as written in the Christian bible. As is customary each Easter, scores of Jamaicans flocked to church services across the island on Friday to reflect on Christ's crucifixion and celebrate his victory over death.
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Jamaican Cuisine Season of LentJamaican Cuisine “Ital” food is the quintessentially Jamaican brand of world renowned vegetarian cuisine. Ital food is a variety of vegetarian dishes made without using animal products, sugar, or salt. These vegetarian foods are sometimes so spicy, you forget about salt when you taste them. There are many free sources online for learning how to cook ital food, including video tutorials and free recipes. We’ve scoured the web for some aesthetically pleasing samples of ital dishes, so feast your eyes on the beautiful presentations on this page and see where you can find them online. It’s the Season of Lent so, get to veggie cooking! Spiced Plantain and Tofu Skewers (tastespace.wordpress.com)
Curried veggie Chunks with Rice & Peas (thefoodherald.wordpress.com)
Jerk Tempeh Wraps (tastespace.wordpress.com)
Vegan Pizza (jessicainthekitchen.com)
Fresh Magazine
Classic Jamaican Ackee-n-Saltfish (jamaicans.com) January-March, 2017
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5 Quick & Easy MONEY-SAVING
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Your
$ Money
Personal Finance Tips that will change the way you think about Money Set Specific Financial Goals Use numbers and dates, not just words, to describe what you want to accomplish with your money. How much debt do you want to pay off— and when? How much do you want saved, and by what date?
Banish Toxic Money Thoughts Hello, self-fulfilling prophecy! If you psych yourself out before you even get started (“I’ll never pay off debt!”), then you’re setting yourself up to fail. So don’t be a fatalist, and switch to more positive mantras.
Allocate at Least 20% of Your Income Toward Financial Priorities By priorities, we mean building up emergency savings, paying off debt, and padding your retirement nest egg. Seem like a big percentage? Here’s why we love this number.
What’s InYour WALLET?: How to THWART Identity Thieves
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