Prime Minister Gaston Browne has acknowledged serious repayment challenges plaguing the government's Entrepreneurial Development Fund, while pledging to expand the programme rather than reduce it following the upcoming general election.
According to Antigua News Room, Browne made the remarks during an appearance on Pointe FM's Browne and Browne Show, where he confirmed that a growing number of borrowers have failed to meet their repayment obligations, driving up what he described as a high delinquency rate within the fund.
"Many people believe that government money is free, and they don't have to pay it back," Browne said, acknowledging that the trend has threatened the long-term sustainability of the programme.
Despite those concerns, the prime minister was unequivocal that the administration has no plans to shutter the fund, which provides low-interest loans to small businesses and aspiring entrepreneurs. "We persist because we don't want to close that window," he said. "We want to continue to help young entrepreneurs in particular."
The fund currently holds an estimated $4 million to $5 million and has served as a cornerstone of the government's strategy to stimulate small business growth and broaden economic participation, particularly among youth. It offers loans at interest rates ranging between 1% and 3%, significantly below commercial bank rates, depending on the sector.
Browne announced that the government intends to increase the size of the fund following the election, expanding access to financing and potentially allowing qualified applicants to secure larger loans. "We will make sure that we expand that programme after elections," he said, adding that fresh resources would be injected to support a greater number of entrepreneurs.
The planned expansion is expected to feature prominently in the Antigua and Barbuda Labour Party's economic agenda as the country heads into elections later this month. While Browne conceded that the repayment shortfalls represent a real financial risk, he maintained that empowering entrepreneurs remains a firm government priority.
