More CDA loans for Tinian, Rota pressed

In fresh efforts to revitalize the islands’ dormant economy, local officials yesterday asked the Commonwealth Development Authority to put more emphasis on loan applications submitted by local businessmen from Tinian and Rota.

Mayor Fransciso Borja said Tinian and Rota businessmen need special considerations from the CDA administration, citing the islands’ still struggling economies compared with that of Saipan where the market is almost saturated.

“It makes sense to prioritize loans from the islands of Tinian and Rota because we are in developing stages of our economy. Most businesses [on Saipan] are already developed and have significant competition. Market share on Saipan is almost completely saturated,” Mr. Borja said.

In contrast, Tinian and Rota economies are characterized by very little competition and unsaturated market which pave the way for more opportunities in terms of development.

Mr. Borja is advancing the restoration of the reliable agriculture industry on Tinian. CDA has been required by the Covenant to make $500,000 available each year for farming and fisheries.

“I want to bring back the agriculture economy to our islands. Right now, almost all agricultural products are imported. It makes no sense to keep on importing agricultural produce when the industry can thrive here,” he said.

He said CDA should start intensifying efforts in promoting agriculture-related businesses by making the funds available for Tinian and Rota businessmen wishing to invest in farming and fishing.

The Tinian mayor also suggested that the Marianas Public Land Trust invest a portion of its funds to subsidize business loan programs implemented by the development authority.

Mr. Borja recommends that MPLT diversify its holdings by investing at least 50 percent of the money in the CNMI, 25 percent in corporate or state bonds and 25 percent in the open market.

“At least we will know that the money CNMI receives from the U.S. lease of CNMI property is being returned to the people in the form of usable capital to start a business,” he pointed out.

The Tinian Mayor’s Office is currently preparing a Comprehensive Economic Development Strategy which will be used to obtain grants from the U.S. Economic Development Authority.

“The only way we are going to remove the responsibility of the government to employ people is to strengthen our business sector. In order to do this, we must open the flow of money for business development, growth and diversification,” Mr. Borja said. (Aldwin R. Fajardo)