A joint Caribbean Policy Research Institute, Capri/ European Union study assessing the existing impediments to accessing financial products in Jamaica has shown how inadequate collateral is dampening small business’ access to credit.
Executive director of CAPRI Dr. Damien King insists that the financial sector is critical for the economy; he says it is important for Jamaicans to have access to financial services. Executive Director of CAPRI, Dr. Damien king says the more persons have access to the financial sector is the more productive an economy is.
He questions where Jamaicans are now when it comes to accessing financial services. Dr. King says every business needs to have credit to manage its cash flow. He adds that this is a major blow for micro, small and medium sized businesses taking away their ability to expand.
Meanwhile, Dr. King says the regulatory frameworks for financial institutions were not designed when digital existed. He’s recommending open banking as a solution, which is the sharing of registration and transactional data on individuals and businesses with third party providers through a secure platform.