President of the MSME Alliance, Antoinette Hamilton, is maintaining the pressure on commercial banks to adjust their lending interest rates downward, aligning with recent reductions in the Bank of Jamaica's benchmark policy rate.
In a release today, Ms Hamilton called on the BOJ to investigate the delayed rate adjustment.
She says the failure of banks to reduce lending rates has placed undue burden on micro, small, and medium enterprises, stifling their growth and hindering broader economic progress.
Ms Hamilton says at a meeting with the Jamaica Bankers Association, her organisation was informed that the JBA was unable to influence or set prices for individual banks, and borrowers should negotiate directly with their lenders.
She describes the response as inadequate and inconsistent with past practices.
Meanwhile, the MSME Alliance is encouraging all borrowers to remain vigilant and explore all available financial options and lending institutions, including credit unions, the Development Bank of Jamaica, and EXIM Bank.
Borrowers are also being urged to utilise accountants and financial experts to understand loan terms, including interest rates, tenures, and fees, to secure the best financing options.
Additionally, MSMEs are advised to carefully consider accessing private equity or listing on the JSE Junior Stock Exchange as an alternative source of financing.