Dáil Éireann Debate, Tuesday - 25 May 2010
92 Deputy Enda Kenny asked the Minister for Enterprise, Trade and Innovation his plans to introduce a loan guarantee scheme to assist small businesses in obtaining credit from banks; and if he will make a statement on the matter. [21823/10]
View answerAs previously advised to this House, work is underway in my Department on the examination of a possible scheme of Loan Guarantees for the SME sector which could augment lending by banks by addressing particular market failures. This is in line with one of the recommendations contained in the Mazars Review on Bank Lending to SMEs. Enterprise Ireland and Forfas carried out examinations of loan guarantee schemes in the UK and in some other countries. Following more detailed examination, Forfas has recently submitted a report to my Department which is being considered. On completion of this work I will bring the results before the Government. As with any initiative, we will need to ensure that any scheme developed directly assists businesses, facilitates genuine additional lending in the market and, at the same time, safeguards the interests of the taxpayer.
