Despite a commitment by the Government a year ago to appoint the Board of Directors at the Linden Enterprise Network, the financial institution is still without a Board.
And according to the Budget Estimates, LEN will again receive just $50M to cover operational expenses.
Today, Region 10 Regional Officials, including its Regional Members of Parliament Jermaine Figueira and Devin Sears, and the Regional Chairman Deron Adams, said the provision of just $50M for LEN is a clear indication that the Government has no intention to effectively operationalize the lending institution, much to the detriment of the business community in Linden and by extension Region 10.
MP Sears explained that in the absence of the board, LEN is unable to issue loans.
“Every year, $50M has been allocated to LEN. We know that it is still receiving the repayments of loans that were taken from way back when. Additionally, it is earning from the rental of office spaces, etc, and this money goes into an account and it pays staff, utility, security, etc but over the years, it has accumulated over $300M, which supposed to be released for persons who want to start a small business, training, etc however, because there is a lack of a board, these funds cannot be released,” MP Sears explained.
Noting that there is no justification for the delay in the appointment of the Board, MP Sears said at this point, the region simply wants the money to be made available to its people for the development of their businesses.
Weighing in on the issue, the Regional Chairman told reporters that since the change in Administration in August 2020, funding for LEN has been frozen.
“As you would recall, it was the coalition government that activated a process where over $150M was made available to Linden Enterprise Network (LEN) to help small businesses, that number has since grown to $300M but since 2020, when this government assumed office, the board was dissolved and LEN has not been lending monies. In fact, several of the staff have resigned and we have been calling for that board to be reconstituted so that farmers and small businesses can be assisted in their endeavours,” the Regional Chairman explained.
During the consideration of the 2023 budget estimates last year, the Minister with responsibility for Finance, Dr Ashni Singh, when pressed for answers, told Opposition MP Juretha Fernandes that the appointment of the Board was “pending.”
At the time, he said the matter was actively engaging the attention of the Government as a matter of urgency.
LEN is being managed by a Chief Executive Officer Tannizia Gasper.
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