MSME Division

The Micro, Small, and Medium-sized Enterprise (MSME) Division of the Ministry of Industry, Investment, and Commerce (MIIC) is dedicated to fostering the growth and development of Jamaica’s MSME sector. This division implements policies, strategies, projects, and alliances aimed at enhancing the contribution of MSMEs to the nation’s economic and social development.

Quick Facts about MSMEs in Jamaica:

• Share of all Enterprises: Approximately 97.6%​
• Contribution to GDP: Approximately 28.5%​
• Share of all Employment: Approximately 82.3%​

MSME & Entrepreneurship Policy:

The division’s initiatives are guided by the MSME & Entrepreneurship Policy, first developed in 2013 and updated in 2018. This policy is currently under revision to outline the division’s work programme for the next five years, focusing on:​

• Promoting Productivity, Technology, and Innovation
• Increasing Access to Finance
• Enhancing Market Access and Internationalization
• Improving the Policy and Regulatory Environment
• Fostering Entrepreneurship and Human Capital Development

Key Partners:

The MSME Division collaborates closely with MIIC agencies, including:​

• Jamaica Business Development Corporation (JBDC): Provides business support services to MSMEs.​
• National Export-Import Bank of Jamaica (EXIM Bank): Offers financial products and services to support the growth of MSMEs.​

Additionally, the division partners with other ministries, departments, agencies, and local, regional, and international organizations to support MSME sector growth.​

Milestones:

1. MSME Digitalization Plan: Launched in August 2019 in partnership with the Organization of American States (OAS), this three-year plan aimed to empower MSMEs, especially micro-businesses, by enhancing market access through digital marketing and e-commerce platforms. Collaborations with digital service providers like Kolau and Fygaro supported these objectives.
   • MSMEs Digitized: Over 2,000​
   • Industries Represented: Various sectors, including agriculture, manufacturing, and services​
2. Access to Affordable Financing for MSMEs: In 2021, the MIIC established an MSME Fund at the EXIM Bank to provide affordable financing options. This facility offered loans of up to J$25 million at an interest rate of 4.75% per annum, with a repayment period of up to five years and a 12-month moratorium. By the end of 2023, 23 clients were approved, with a total disbursement of J$335,055,633.18 to eligible SMEs.
3. MSME Business Roadshow – Phase 1: Executed in the Fiscal Year 2023/2024, this initiative aimed to support private sector growth by providing coaching, mentoring, and technical assistance to MSMEs. Funded by the Inter-American Development Bank (IDB) and MIIC, the roadshow targeted the parishes of Manchester, St. Ann, St. James, and Kingston and St. Andrew.
   • MSMEs Participated: Over 500​
   • Business Pitch Competition Winners: 12​
   • Grants Awarded: Totaling J$12 million from the Development Bank of Jamaica​
4. Micro Business Pitch Competition: As part of the MSME Business Roadshow, this competition provided micro-entrepreneurs with the opportunity to receive professional recommendations and funding to scale their ventures. Winners received business development support, with one woman-owned business admitted to the Export Max 2024 Cohort and another assisted in applying for technical assistance under the Development Bank of Jamaica’s grant facility.

The Digital Transition Programme (Digital Jamaica)

The Digital Transition Programme (Digital Jamaica) aims to broaden inclusive access to and utilization of information and communication technologies (ICT) throughout the country. By doing so, the programme supports Jamaica’s ongoing transition towards a robust digital economy and society. Digital Jamaica is funded by the European Union (EU) through a grant of €9.5 million. Digital Jamaica will target interventions across the following three components: The ICT Sector, The Education Sector, and The MSME Sector.

• It will empower the Jamaica Business Development Corporation (JBDC) and its Small Business Development Centres (SBDCs) to deliver specialized MSME training programmes tailored to each business’s specific digital needs.
• The project will support MIIC’s integration of digital transitioning services into its existing business development system, to aid MSMEs nationwide.
• The project will be executed across 4 years, from Fiscal Year 2022/2023 to Fiscal Year 2025/2026 at a cost of €5 million.
• Approximately 5,000 MSMEs will be targeted.

United States Treasury, Office of Technical Assistance (USTOTA) Project

In 2023, the MIIC approached the USOTA to provide Technical Assistance (TA) to strengthen the MSME sector generally, and specifically to implement four (4) priority projects, aimed at facilitating increased access to financial products and services for MSME growth and development.

The Project aims to assist the Ministry with the following:

• Design and implementation of a public awareness and training intervention on the application of the secured transactions law and usage of the collateral registry. This is intended to foster a greater understanding of various types of movable assets that can be leveraged to facilitate access to financing, thereby enhancing the utilization of the registry by users.
• Development of a financial product in line with current secured transactions law and recommendations on a disposition model.
• Development of a centralized MSME data monitoring system that allows policy makers to make data driven policy decisions.
• Design and implementation of a MSME business and financial education and information hub.

Improved Secured Transactions Regime (STR) in Jamaica

The Security Interests in Personal Property Act (SIPPA) 2013, is a key component of Jamaica’s secured transactions regime and came into effect in January 2014. SIPPA aims to expand the range of assets that can be used as collateral for securing financing to include movable personal property, such as intellectual property (IP).

In 2023, the MIIC invited specific special interest groups and the general public to give comments and recommendations and make submissions to the Joint Select Committee with respect to the SIPPA. The Joint Select Committee met to review, hear and discuss the submissions of the SIPPA in June and November 2023 as well as in April 2024. The review process continues in 2024.