:: BACKGROUND ::  The National Investment Bank of Jamaica (NIBJ) is wholly-owned by the Government of Jamaica. It started in 1975 as the Jamaica National Investment Corporation, responsible for expanding opportunities to Jamaicans who wished to participate in the economic development of the country. In 1984, NIBJ succeeded the JNIC by an Act of Parliament to bring into sharper focus Government's investment and divestment policies. NIBJ BUILDING The new organisation's role was expanded with the Bank assuming responsibility for the management of selected Government assets and working with the private sector to create a venture fund to provide equity capital for new ventures. The Bank is not focused only on investments and divestments. For example, in 1992, NIBJ joined the Agricultural Credit Bank and the National Development Bank to endow a chair in the Department of Economics at the University of the West Indies. Out of the Bank's involvement comes the recruitment of a distinguished economist to the chair, funding of bursaries and scholarships, and the establishment of workshops for students of economics. NIBJ BUILDING Also, in 1994 NIBJ was mandated to develop and implement the Employee Share Ownership Plan (ESOP) in order to broaden the ownership base and increase the level of participation of workers in the economic development of the country. NIBJ has also played a very important role in the establishment of funding agencies for operators of small businesses, for example, the Micro Investment Development Agency (MIDA). :: MISSION ::  To foster national economic growth and sustainable development by encouraging widespread ownership through privatisation, capital mobilisation and investment in strategic sectors. :: ACTIVITIES ::  Privatisation of selected Government-owned assets. Investment in the form of equity and quasi-equity financing in the productive sectors such as agriculture, manufacturing, mining & minerals, entertainment, infrastructure, information technology, and tourism, primarily to finance capital expenditure. The provision of Underwriting support facilities to assist in the mobilisation of equity financing. The provision of Guarantee facilities to certain financial institutions as an alternate source of short-term financing specifically for companies requiring working capital support. Financial Structuring and Syndication services to ensure appropriate and adequate capital support to projects endorsed by the NIBJ. :: PRIVATISATION ::  The privatisation policy is aimed at streamlining the public sector to create greater efficiency in the operations of public enterprises, reducing the drain on Government fiscal resources while optimising their use, and gaining improved access to foreign markets, technologies and capital. Entities available for privatisation fall in a range of sectors including manufacturing, utilities, agriculture, tourism, health and infrastructure. :: INVESTMENT ::  Through equity financing, NIBJ invests in development projects that are designed to improve and broaden the country's economic base. Equity financing is done primarily through the taking of Preference Shares or utilising a Convertible Debenture and, in special circumstances, Ordinary Shares. The bank's investments are limited to: Investments made in Jamaica A minority stake in any one company A maximum of 40 per cent of a project's cost except where the company's input can be assessed to include its net worth.    Top

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