New legislation has been published which will allow Microfinance Ireland (MFI) increase its lending limit to microenterprises from €25,000 to €50,000.
Microfinance Ireland provides vital support to microenterprises across Ireland by lending to businesses that may not be able to obtain loans from other commercial lenders.
Minister for Enterprise, Trade and Employment Peter Burke said the increase will help established businesses to secure appropriate finance to sustain and grow their business and will also offer another avenue of financial support to assist start-up enterprises.
78% of loans approved by MFI in 2023 were to microenterprises outside Dublin.
The main sectors availing of loans from MFI have been the wholesale and retail sector (20%), manufacturing (11%), other services (10%) and professional, scientific and tech activities (9%).
MFI also provides post approval mentoring services to its borrowers through the Department’s Local Enterprise Office Network.
Since its establishment in 2012, MFI have approved over 5,000 loans to the value of €85.4m as it supported 10,703 jobs.