DFC announces US$9m guarantee to Sygnus Credit for small business debt financing

The United States (US) International Development Finance Corporation (DFC) has committed a US$9-million loan guarantee to Jamaica’s Sygnus Credit Investments Ltd (SCI) which will serve to expand its debt financing of under-served small and medium-size businesses, with a particular focus on women-owned-and-managed businesses on the island.

According to the US Embassy in Kingston, this US$9-million guaranty forms part of the DFC’s US$12-billion commitment in fiscal year 2024 to address foreign policy and development priorities in a wide range of projects that are boosting development in emerging economies. This includes over US$3.4 billion in transactions approved and committed in the fourth quarter alone. The DFC’s investments are aimed at mobilising private capital to tackle some of the world’s greatest challenges, with a focus on health, infrastructure, energy, agribusiness, and small business support. Notably, increased financing to the agribusiness sector is critical at this juncture as it will support Jamaica’s recovery from Hurricane Beryl and enable smallholder farmers struggling with the storm’s after-effects to sustain and grow their businesses, ultimately helping to address a short-term shortage and enhance resiliency in Jamaica’s agricultural supply chain.

US Ambassador to Jamaica N. Nick Perry expressed his enthusiasm for the programme, stating, “We are thrilled to witness the positive impact that the DFC’s investments are having on communities around the world, including here in Jamaica. These initiatives embody the spirit of collaboration and mutual growth between the United States and Jamaica. It is a testament to our shared commitment to foster development and create opportunities for all.”

Perry met with members of the Sygnus team including, President and Chief Executive Officer Berisford Grey, Executive Vice President & Chief Investment Officer Jason Morris, and Assistant Vice President Investment Management Ryan Landey. The team expressed their vision for the partnership and said they see it as an opportunity to provide sound financial solutions for small businesses in Jamaica. Partnership with DFC is also expected to strengthen Sygnus’ impact investing efforts. In January 2024, SCI became the first Jamaican member of the Global Impact Investing Network.

AVP Investment Management, Sygnus Capital, Ryan Landey shared, “Sygnus Credit Investments is excited to partner with the United States International Development Finance Corporation (DFC) to support the growth of SMEs in Jamaica. This initiative along with its long-term benefits, will significantly enhance our capacity to provide vital financial resources to women entrepreneurs and contribute to the continued economic growth and expansion across the region.”

This DFC commitment follows the visit of its chief executive officer, Scott Nathan, who in December 2023 travelled to Kingston, where he met top government officials and private sector representatives, to explore how DFC can expand its work in the country and deepen the partnership between the US and Jamaica. The US Embassy said it was looking forward to continuing its support of initiatives that promote economic development, cultural exchange, and educational opportunities in Jamaica.