isic physical and
ients necessary for
by expanding a
nde construction
cludes rehabilitat-
yads, airports, and
nd improving and
2lectrical, sanitary,
lities.
e of $225,000 was
applicants attempt to secure cred } di!
aggr
ditional
| ia be
unegat
process in the districts.
directly from commercial banksin ¥
|
area, and that only when such assigm ow!
g,
ance is not available may they subng.); -¢ 30 direct loans outstandin
y-eight were
applications to the Board for its cq Stes luni! . 531,963, twent
na Islands
Maria
the
in
17
nt.
finque
@
ly,
sideration. Loans are made direct
tated by
devas
was
which
.,...
tofM..
ntee
guara
loan
in the form of a
commercial bank by the TerritonfA. 4) von Jean in April. After the
y was made of estiwith the Board settigg Fan , surve
Government, reserv
of the Marianas
cmg
needs
rnan
eel
ze
e equivalent to 25
aside cash in
“ busitiess community.
Loan applica-
ynesians to estabisiness enterprises
n with necessary
‘e and long-term
terprises include
of the total loan guaranteed.
‘xpanded produc-
Trust Territory, or a group or associ
uction in modern
residents, whom the Board of Diredigetis is of the Economic Development
tors regards as a suitable borrower. ,§ yan Lundsince 1964:
ooperatives, small
aft,
search
for
‘tion.
al participation in
rises which are
d the financial
nvestors, by pro-
i Hons
known to be in
Be in addition to joans
cts.
distri
other
in
c
ro
of
ent
resid
(a) A citizen or
tion of Trust Territory citizens &
the following figures reflect the
a
(b) Corporations and cooperatiy€, wel
societies authorized to conduct bug Yeur
ness in the Territory; citizens or regg
dents of the Territory engaged @ 1904
ic climate which
agriculture,
while providing
yment opportumnesia’s growing
yrises which may
icipation include
sportation
and
ism; and improvement ofreal proper 196 /
heries, large-scale
ral production,
and other fabri‘turing industries.
‘velopment Loan
‘tant device for
economy. The
tered by a sevenirectors, chaired
onomic Developablished by the
quires that loan
manufacturing, or cong.J90>
mercial fishing; improvement of toug1000
for
industrial
purposes which
te 0%
Board specifically determines to @
Guaranteed
Loans
Direct
Loans
5 200,000
$104,000
193,700
285,700
68,600
203,398
39,625
236,000
164,200
115,300
beneficial, desirable and necessary
the economic development of te These loans were granted for a variety
Trust Territory and which meets ongOF purposes:
or more of the following criteria:
—Creates new employemnt;
4
t
b
ce
s, commerce and
toliling about $500,000 were
restoring and
Loans may be made or guarantesfe,.dered likely for
ents.
These would
lishm
di
estab
per
to:
—Replaces imports,increases exports
1k
—Reduces consumerprices;
@® Jo .tmulate agricultural production
(for example, to establish poultry
Lunus, piggeries, vegetable farms,
cattle ranches)
ifPe@ |. cstublish new enterprises (such
—Provides vitally needed facilities ang
services.
if
a. laundromat, boat yard, bakeries,
iiting operations)
} @ | provide additional capital for
During the year under revieve cxpanding private businesses and
Cooperatives
direct loans totaling $115,300
made and $164,200 worth of add
tional loans were guaranteed wit
commercial
banks.
At
year’s eng
$23,000 in loans were pending and a
Part VI—Economic Advancemet
@ |.
tinance
(cuumercial
new
construction
buildings,
totels. and rental property)
motels,
e To engage in transportation services
(e.g., local transportation, warehouses, sea transportation, stevedoring).
Credit Unions and Cooperatives.
Trust Territory credit unions and
cooperatives continue to make notable
progress. By the end of fiscal year
1968, 48 credit unions were operating
in the Territory, an increase of seven
over the previous period. Total assets
of these self-help thrift and lending
institutions aggregated $879,778, an
increase of 62% during calendar year
1967. By the end of the reporting
period, total assets were estimated to
be above $1,000,000. At the end of
calendar year 1967, 7,295 Micronesians were participating in credit
unions and had saved $764,485 for an
average of $105 per member. During
calendar year 1967, credit unions
made 4,059 loans to members amounting to $1,208,846 or an average of
$298 per loan. In most cases, the
credit union is the only source for
such loans. Loans were made for such
beneficial purposes as home building
and improvement, buying furniture
and household appliances, sending
children away to school, and a number
of other practical purposes.
By the end offiscal year 1968, 14
Trust Territory credit unions had
subscribed for the Loan Protection
and Life Savings insurance provided by
CUNA Mutual Insurance Society of
Madison, Wisconsin. Under the loan
protection coverage, the insurance
company will repay the balance of a
member’s credit union loan if he dies
or becomes totally and permanently
disabled. Thus, the credit union will
not lose, nor will it have to call upon
the family of the deceased member to
pay the obligation. The insurance
company does not seek recovery of
the amountit restitutes to the credit
union.
4$
bet Your 1968
**%