Newly appointed chairman of the Jamaica Micro Financing Association (JaMFA) Andrew Mais says the Government can count on its members to act professionally in dealing with the public.

“We are not aware that any of our members are evident in that anecdotal situation you referred to,” Mais said in response to the cautions expressed by minister of state in the Ministry of Industry, Commerce, Agriculture and Fisheries, Dunn Norman, at his recent inauguration ceremony at the ministry in New Kingston.

“We have a code of ethics and standards to which our membership adhere strictly, and so at this point I want to use this podium to assure the minister that none of our members would be found wanting, and we will continue to raise the standards of professionalism as an association and an organisation going forward,” he said.

Mais thanked the membership for placing their confidence in him, in the face of critical challenges ahead for microfinancing institutions (MFIs), and the ministry for the support it has been giving to MFIs over the years.

“We have felt the impact of COVID-19 and it is significantly impacting all of us, but certainly the impact is more significant on the smaller members… Many have had to be making significant adjustments in their day-to-day operations, just to stay afloat. In fact many are operating at significant losses and, if those losses are to be sustained over an extended period of time, then certainly we are looking at a sector that is going to be badly damaged next year,” he warned.

“I want to just make note to the minister that, along with the executive director, we will be knocking on his door for support, because the sector will be in significant need of support and assistance from whatever source. It doesn’t necessarily mean it will have to be financial, but certainly other methods of accommodating the sector so that the environment can continue to have development,” he said.

He stated that over the past 30 years the sector has been dynamic, flexible and innovative and that in terms of the minister’s reference to adapting and pivoting, it has been observed that many of the members are not only pivoting but assisting their clients to follow that lead.

“So, while there is some glimmer of hope, we feel the need to work closely with the ministry to make sure that our industry is preserved, and certainly the membership remains strong and viable,” he said.

He noted, however, that there are still concerns within the sector about the pending regulations which are expected to flow from the passage of the Microcredit Act.

“We are certainly confident that the recommendations that we have made to the minister of finance will be adopted because we recognise that while the intent is good, certainly over-regulating the sector can do more harm than good,” he said.

He noted that JaMFA has championed the need for regulation going back to leadership of its first chairman, Hurshell Cyrus, and wants the benefits that come from proper regulation.

“We are for regulation because we recognise that regulation brings formality to the sector and, certainly, over the years we struggled with acceptance. With regulation comes all of the benefits that bring acceptance. So, we don’t have a difficulty with regulations. However, having looked closely at what is contained in these regulations, we certainly are concerned that there are aspects that we will have to seek to undo,” he said.

“I believe that our conversations with the ministry have been fruitful so far. Certainly they have listened to a number of our recommendation and have made the necessary adjustments,” he said.