1. Presenter: Sonji Johnson Account Executive Loan Origination

2. MISSION The Development Bank of Jamaica provides opportunities to all Jamaicans to improve their quality of life through development financing, capacity building, public private partnership and privatization solutions in keeping with Government policy.

3. WHAT DOES THE DBJ HAVE TO OFFER? COMPLEMEN TARY PRODUCTS – ENERGY AUDIT GRANT; CEF CAPACITY BUILDING - VTA BUSINESS LOANS

4. TARGET MARKET Viable enterprises/projects in the productive sector Projects of varying sizes: micro, small, medium and large Current emphasis on linkages, social inclusion

5. STRATEGIC SECTORS Agriculture Agro-processing Energy Manufacturing Mining & Quarrying Services Tourism

6. CRITERIA FOR DBJ LOANS 66 2/ 3% Jamaican Ownership Operating in JamaicaOperating in Jamaica Tax compliant (over J$2M)Tax compliant (over J$2M) Technically & Financially viableTechnically & Financially viable Equity Injection: 10%-30% Based on Line of CreditEquity Injection: 10%-30% Based on Line of Credit Exceptions Purchase of Land/Buildings Acquisition of Businesses Refinancing

7. LOAN PURPOSES Establishment of Crops & Livestock Construction & Expansion of structures Modification of structures To purchase Machinery & Equipment Innovative projects - Animation Energy-saving Projects Tourist Attractions & Wellness Projects Purchase Movable Fixed Assets

8. DBJ RATE SHEET

9. NATIONAL INSURANCE FUND ELIGIBILITY CRITERIASME MUST PROVIDE: SMES with revenues up to J$150M and employs up to 50 persons Enterprise must at least be a Sole Trader TRN NIS TAX COMPLIANCE CERTIFICATE – number and expiry date BUSINESS REGISTRATION NUMBER AND DATE OF REGISTRATION – where applicable

10. NATIONAL INSURANCE FUND OTHER TERMSMONITORING & IMPACT INTEREST RATE TO AFI – 5.5%; RATE TO SME – 10.0% SMES CAN BORROW UP TO $15M MAX REPAYMENT TERM – UP TO 8 YEARS MAXIMUM MORATORIUM PERIOD – 6 MONTHS JOB RETENTION INCREASED EMPLOYMENT IMPROVED FINANCIAL PERFORMANCE SME ACHIEVED ITS OBJECTIVES SME CLOSER TO BEING SUSTAINABLE

11. CREDIT ENHANCEMENT FUND FOR SMEs Benefits of the CEFQualifying for CEF Reduces risk of lending to SMEs Supplements Available Collateral Allows viable SMEs to access credit for expansion Available to SMEs Only Tax compliant Project viability Proven track record

12. CREDIT ENHANCEMENT FUND FOR SMEs The DBJ will guarantee: ▫ 50% of DBJ funded SME loans up to J$10M ▫ 80% of Energy Loans up to a maximum of J$10M.(Conditions apply) ▫ SME loans funded with the AFIs own funds - 50% of the loan up to J$5M

13. APPLYING FOR THE CEF Cover Letter Completed CEF Application Loan & Guarantee application done simultaneously (for DBJ funded facilitates) AFI to provide quarterly reports for monitoring purposes

14. ENERGY AUDIT GRANT Available to businesses within the productive sector Maximum of J$200,000 per audit – excess is borne by Client We do not facilitate reimbursement for audits previously done

15. ENERGY AUDIT GRANT PROCESS SELECTION OF ENERGY AUDITOR Client selects Auditor from DBJ’s list; negotiates with Auditor Receives quotation and submits application to DBJ with supporting documents COMMITMENTS DBJ reviews application and issues commitment/refusal letter DBJ issues commitment letter to Auditor to cover cost of audit within the established limit Maximum 5 working days ENERGY AUDIT &TERMS Applicant and auditor to indicate commencement date of audit prior to payment of mobilization fees 1st payment (mobilization) is made to energy Auditor Energy Audit begins – may take up to 40 days

16. LOAN APPLICATION PROCESS AFI appraises and approves Loan application AFI submits application to DBJ DBJ approves Loan and returns LOC AFI signs LOC, pays commitment fee and requests disbursement AFI makes repayments, supervises and manages loan account

17. DOCUMENTATION Application Cover Letter DBJ’s Loan Application Form Copy of AFI’s Internal appraisal including financial statements Sub-borrower’s TRN TCC (over J$2M) Copies of other relevant documents ADMINISTRATIVE FEES Commitment fees – 1% plus GCT Prepayment penalty – Flat 3% plus GCT

18. LOAN DISBURSEMENT Signed Letter of Commitment Commitment Fees 1% plus GCT Signed Disbursement Application Promissory Note - Signed & Sealed Stamp Duty Commissioner of Stamp and Estate Duties - J$5,000

19. QUESTIONS AND COMMENTS