Lower interest rate makes green investments more affordable for BES island entrepreneurs
KRALENDIJK – Entrepreneurs on Bonaire, Sint Eustatius and Saba can now invest in sustainability at a lower interest rate. Qredits is reducing the interest rate on the SME Sustainability Loan, also known as the Energy Loan, from 4.95 percent to 2 percent.
The rate reduction is made possible by additional interest subsidies from the Ministry of Economic Affairs and Climate Policy and will apply for an initial period of six months.
According to Qredits, the measure is intended to lower the threshold for sustainable investment and help entrepreneurs become less dependent on fluctuating energy and fuel prices. Particularly on the BES islands, where energy costs are relatively high and dependence on fossil fuels is significant, the organisation believes this can contribute to lower operating costs and a future-proof business climate.
The SME Sustainability Loan is available to both start-up and established entrepreneurs. They can borrow up to $50,000 at a fixed interest rate of 2 percent for the entire duration of the loan. The average loan amounts to approximately $27,150 and is typically repaid over five years through fixed monthly instalments.
Since the current scheme was introduced in October 2024, eight loans have been issued on the BES islands. Entrepreneurs are using the funding primarily for energy-saving measures, such as energy-efficient equipment, making business premises more sustainable, and the installation of solar panels.
The Dutch government states that the scheme forms part of a broader package of measures to support entrepreneurs in the energy transition. Minister of Economic Affairs and Climate Policy Heleen Herbert argues that entrepreneurs looking to invest in renewable energy "deserve a helping hand" particularly given the volatility of energy markets. According to her, the scheme contributes both to immediate cost relief and a structural reduction in dependence on expensive energy.
"Many small entrepreneurs want to become more sustainable but need financing that suits their business. It is valuable that the Ministry of Economic Affairs and Climate Policy recognises the importance of this for entrepreneurs and is helping to lower the barrier with additional interest subsidies. With this lower rate, we are making sustainable investments — such as solar panels, electric company vehicles and battery storage — more achievable for small entrepreneurs in the Netherlands and on the BES islands."
— Marco Smit, CEO Qredits
