IPED records $512M increase in asset value for 2021
The Institute of Private Enterprise Development (IPED) has reported an increase of 12 per cent in asset value when compared to the value of the previous year.
The institution’s assets at the end of 2021 were valued at $4 billion, 808 million — an increase of $512M, or $4 billion, 296 million as at December 31, 2020.
Assets recorded as at December 31, 2021 have been financed by an accumulated surplus of $3 billion, 808 million, and liabilities of $998 million. This is in comparison to the 2020 accumulated surplus of $3 billion, 496 million in assets, and $800 million in liabilities.
In the just-released Annual Report, Chairman of the IPED Board, Komal Samaroo, has said, “We are optimistic about IPED’s future as it pursues the fulfilment of its many objectives, which include building partnerships with organisations that provide complementary support services to micro and small business entrepreneurs to enhance their production potential and capacity to meet their market demands.”
IPED remained resolute in providing services to its new and existing clients. In 2021, IPED processed 4,060 loans for a total value of $3 billion, 224 million; compared to 3,566 loans for a total value of $2 billion, 921 million in 2020.
A total of 325 loans for a total value of $402 million has been refinanced, granting entrepreneurs the opportunity of furthering their respective enterprises; and IPED has determined those loans to be worthy investments.
Loans granted to 2005 small-scale farmers accounted for 49 per cent of loans granted for 2021. This shows IPED’s major role in supporting small-scale farming.
As at December 31, 2021, IPED had serviced 4,122 small and micro enterprises with a gross loan receivable of $3 billion, 688 million. Non-performing loans as at December 31, 2021 were valued at $310 million, or 8 per cent of loans receivable, compared to 2020’s $368 million, or 10.8 per cent of same.
Cash resources and financial investments at the end of 2021 totalled $530 million, compared to $510 million in 2020. IPED has been able to cover all operating and loan impairment costs for 2021.
“IPED’s total operating income for 2021 was $717 million, compared to $594 million in 2020, an increase of $123 million, or 21 per cent. Total operating cost before loan impairment for 2021 was $550 million, compared to $515 million in 2020, an increase of $35 million, or 7 per cent. Loan impairment cost for 2021 was $14 million, compared to $56 million in 2020,” that institution has stated in a release.
Further, IPED has stated that it was able to cover all its operating costs and loan impairment costs for 2021 and 2020, to generate a surplus of $153 million and $24 million respectively. After remeasurement of its employees’ pension plans, the net total comprehensive income for 2021 was $314 million, compared to $72 million in 2020.
IPED Chairman Komal Samaroo added, “IPED’s success in achieving its mission to provide financial and advisory services to small and micro business entrepreneurs, enabling them to build sustainable enterprises, remains a true testament to its indelible contribution to reducing poverty and expanding Guyana’s economy.”
Meanwhile, Haimlall Persaud has been recognised for having the Best Medium Enterprise, while Munesh Persaud has been recognised for having the Best Youth Enterprise. The Best Small Enterprise Project has been recognised as that of Hardat Pearce, while the Best Micro Enterprise Project has been recognised as that of Cecelia Peters. Naveta Ramkripal has been recognised as the Best Woman Entrepreneur, while the Best Agricultural Project has been recognised as that of Jagdesh Sookhoo. The abovenamed persons have all received awards for their outstanding performances for the year.