Working Group Report
19th April 2013
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1.
Purpose of the program
2.
Expected Results to be achieved
3.
[Verifiable] Targets signaling achievement of Results
4.
Activities needed to achieve the Results
5.
Budget/financing required to implement Activities
6.
Priorities to address before starting the program
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Category
Intervention Logic
Verifiable Target
2. Project
Purpose
2.1 SME access to finance
improved
2.1.1 Change in lending
volume to the private sector
by commercial banks
3. Expected
Results
3.1 SME growth rate
increased
3.1.1 Change in number of
businesses accessing finance
from banking system
3.2 Employment by the SME
sector increased
3.2.1 Change in employment
by business sector/ category
3.3 Total taxes from SMEs
increased
3..3.1 Change in corporation
taxes collected by Director of
Taxes
3.3.2 Change in number of
registered firms at KKF
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Activities
Outputs
Resources
4.1 Develop a training program
for SMEs in business
plan/proposal preparation
4.1.1 CUS to write ToR and hire
consultant to asses and
design a training program for
SMEs
4.1.1.1 CUS to secure IADBfunding for consultant by 30
June 2013
4.1.2.1 Select appropriate
institutions from SBC, KKF ,
SPWE, WBG, InTent,0r NVB;
or IMKB, SMART, VCB by 31
December 2013
4.1.2 Implementation of the
training programme
4.2 Train more accountants to
increase the supply of providers
of financial accounts for SMEs
4.2.1 SUVA to introduce an
awareness programme in
Suriname to increase
enrollment.
4.2.2.1 SUVA, ACCA/SCA,
University – Department of
Economics by 30 June 2013
4.3 Revise the Accountancy
Act to improve reporting,
accountability and
enforcement
4.3.1 Ministry of Finance to
finalise amendments to Draft
Act and submit to Parliament
for “legal passage”.
4.3.1.1 CUS to urge Parliament
to pass new Accounting Act
within next 12 months (i.e. by
31 March 2013
4.4 Support the banks’ training
programme for bankers to lend
to SMEs
4.4.1 Continue to implement
the banks’ training
programme for loan officers to
lend to SMEs
4.4.1.1 Bankers’ Association
(on-going)
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4. Activities
Outputs
4.5 Establish a credit bureau
following international best
practice
4.5.1 Central Bank to complete
draft legislation and submit to
Ministry of Finance
4.5.1.1 Central Bank of
Suriname by 30 June 2013
4.5.2 Ministry of Finance to
submit the revised draft to
parliament
4.5.2.1 Ministry of Finance by
30 September 2013
4..5.3 Parliament to review Draft
Act and pass it (the Act)
4.5.3.1 Parliament (National
Assembly) by 31 December 2013
4.6 Re-activate the credit
Guarantee Fund for SMEs
4.6.1 Ministry of Finance to
recapitalise the Guarantee Fund
for SMEs (SRD 15 million)
4.6.1.1 CUS to lobby the
Ministry of Finance to provide
Guarantee Funds for SMEs
4.7 Review legislation governing
secured transactions and set up a
movable collateral registry
4.7.1 Get examples of movable
collateral legislation and assess
legal implications for Suriname.
4.7.1.1 CUS to initiate meeting
with Bankers Association to
discuss moveable collateral
registry prospects by 30 June
2013
4.7.2 Set up a moveable
collateral registry, if feasible
4.8 Carry out assessment of
relative impact of Govt. credit
facilities made to private sector
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4.8.1 CUS to write ToR and hire
consultant to assess and make
recommendations based on
lessons learned
Resources
4.8.1.1 CUS with funding
support from IADB to contract
consultant by 30 June 2013
4. Activities
Budget (Costs)
4.1 Develop a training programme for
SMEs in business plan/proposal
preparation
1 consultant inclusive of working
days, plus per diem, plus air fare =
US$40,000.
Program
funding
based
on
consultant cost estimates possibly
around US$2,500 per SME trained.
4.2 Train more accountants to increase the SUVA to obtain more funding from
supply of providers of financial accounts
IADB (US$135,000 was granted to
SUVA in Phase I). Phase II will be
for SMEs
with Central Bank.
4.3 Revise the Accountancy Act to
No funding support required
improve financial reporting, accountability
and enforcement
4.4 Support the banks’ training
programme for bankers to lend to SMEs
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To be supported by Commercial
Banks via HRD Departments
4. Activities
Budget (Costs)
4.5 Establish a credit bureau following
international best practice
To be supported by IADB Financial
Sector Reform Project to the
Central Bank (over 3 – 5 years)
4.6 Re-activate the credit Guarantee
Fund for SMEs
SRD 15 million transferred from
Ministry of Finance to Guarantee
Fund by 31 December 2013
4.7 Review legislation governing secured
transactions and set up a movable
collateral registry
To be supported by IADB Financial
Sector Reform Project to the
Central Bank
Funding dependent on “registry”
decision by Central Bank
4.8 Carry out assessment of relative
impact of Govt. credit facilities made to
private sector
1 consultant inclusive of working
days, plus per diem, plus air fare =
US$40,000
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Pre-conditions for Access to Finance program
Overall, agree to use 2013 World Bank “Doing Business Report rankings
as baseline indicators for Access to Finance program
Collect data to establish the 1 January 2013 baselines for the following
Verifiable Indicator Targets:
1. Lending volume to the private sector by commercial banks;
2. Employment by business sector or (SME) category;
3. Corporate taxes collected by Director of Taxes;
Establish annual milestone targets for next five years for increases in:
1.Bank loans to SMEs;
2. Employment by SMEs;
3. Corporate taxes to be collected by Director of Taxes
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