Bahamas Development Bank and UN Women Launch $2M Low-Interest Programme

Pictured from left to right are Bahamas Development Bank (BDB) Deputy Managing Director, Dave Munroe; BDB Managing Director, Nicholas Higgs; UN Women MCO Caribbean Representative Tonni Brodber and UN Women MCO Caribbean Private Sector Specialist Gayle Gollop.

Nassau, Bahamas, August 14, 2024 - Micro, small, and medium enterprises (MSMEs) led by or of benefit to women, youth, and people living with disabilities will have access to low-interest loans of up to 2 million USD starting this month.

The Bahamas Development Bank (BDB) and the United Nations Entity for Gender Equality and the Empowerment of Women Multi-Country Office - Caribbean (UN Women MCO Caribbean) recently signed a partnership agreement to provide the new dynamic offering to agriculture, sustainable tourism, and creative businesses.

Successful applicants will be able to access loans of up to 50,000 USD at an interest rate of no more than two percent. UN Women, through project funding from the Joint Sustainable Development Goals (SDG) Fund, will be investing 100,000 USD into a low-cost loan product developed by BDB.

Nicholas Higgs, BDB’s Managing Director, described the financial product as a “game-changer” for The Bahamas. 

“By providing low-interest loans to MSMEs, we are empowering local businesses to thrive, innovate, and contribute significantly to our economy. This initiative not only supports economic growth but also promotes social inclusion by targeting underrepresented groups such as women, youth, and people living with disabilities. It is a pivotal step towards a more equitable and prosperous future for our nation.”

Mr. Higgs added, “Loans are useful for business growth. This new product allows businesses to scale up production, improve products, stay competitive, enter new markets or take advantage of growth opportunities.”

Loan applications will be accepted from August to September 2024.

The loans are made possible through blended financing, a mechanism which uses public and development funds to subsidize interest rates on traditional loans taken by the Bahamas Development Bank.

Tonni Brodber, Representative UN Women MCO Caribbean said, “For many businesses, access to loans can mean the difference between staying small or achieving significant growth, driving innovation and economic development in their communities.”

“A major focus for this fund is supporting women and young entrepreneurs in overcoming existing financing gaps to support their full and equal economic and social participation. Recognizing that women are less likely to take out loans when compared to men, closing the gap between the need for financing and the access to financing is crucial for women entrepreneurs to overcome economic challenges, enhance their financial independence, and enable women to contribute to the overall economic development and job creation in The Bahamas.”

The Bahamas Development Bank and UN Women have been in partnership through the Joint SDG Fund Building Back Equal through Innovative Financing for Gender Equality and Women’s Empowerment Programme since 2022. It is being jointly implemented in The Bahamas and Bermuda by the BDB, the Ministry of Youth, Social Development and Seniors in Bermuda, and four United Nations agencies including UN Women, United Nations Educational, Scientific and Cultural Organization (UNESCO), Food and Agriculture Organization of the United Nations (FAO), and United Nations Development Programme (UNDP). The programme is scheduled to run until 1 October 2024. 

Interested applicants can visit www.bdb.gov.bs or email [ Click to reveal ] for more information.