International Training Institute (ITI) students are now eligible to access small business loans through Women’s Microbank following the signing of a Memorandum of Understanding (MoU) between the two organizations on Tuesday.
The partnership aims to provide student entrepreneurs with easier access to business financing, marking what Women’s Microbank described as a significant step towards promoting entrepreneurship and expanding financial inclusion among young Papua New Guineans.
The initiative is designed to complement students’ education by providing practical opportunities to establish and manage businesses while studying.
Under the agreement, eligible ITI students will be able to access small business loans through Women’s Microbank with the support and endorsement of their institution.
The bank has agreed to offer loans ranging from a minimum of K300 to a maximum of K500 to qualifying students.
The MoU signing ceremony was held on Tuesday at the Women’s Microbank office in Waigani, Port Moresby.
The ceremony was officiated by ITI Chairman and Co-Founder Mr. Senthil Kumaran Sentheyval and Women’s Microbank Chief Executive Officer Mr. Gunanidhi Das.
It was witnessed by ITI students, staff, and members of the Women’s Microbank executive board.
CEO Das welcomed ITI students and management, describing the collaboration as more than a ceremonial agreement.
“This is not just a paper. It is a game-changing partnership that creates opportunities for students to become future entrepreneurs,” Mr. Das told reporters.
Mr. Das said the partnership recognizes that while many graduates seek employment, others have the potential to create jobs through entrepreneurship.
“We want students to see entrepreneurship as another pathway. Some may become employees, while others may become employers,” he said.
Unlike traditional commercial lending, Mr. Das said the bank’s student lending model focuses on accessibility rather than requiring significant collateral or financial history.
According to the CEO, the bank will rely on ITI’s endorsement of eligible students instead of conventional lending requirements such as capital, collateral, and established cash flow.
“We believe in students because their institution knows them. What we need is social trust rather than financial guarantees,” Mr. Das said.
He also highlighted the bank’s commitment to serving people who often struggle to access finance, including market vendors and first-time entrepreneurs.
Mr. Das said the partnership aligns with the government’s broader objective of promoting small and medium enterprise (SME) development and encouraging job creation through entrepreneurship.
He said improving access to finance remains central to the bank’s mission.
“Access to credit should not be the privilege of the rich. It should be available to everyone who meets responsible lending criteria,” Mr. Das said.
As part of the program, participating students will receive financial literacy training before becoming eligible to apply for loans, he said.
Loan repayments will be structured around the borrower’s business cash flow, with flexible repayment options depending on the nature of the enterprise.
Mr. Das expressed optimism that the pilot program could expand significantly if successful, with the potential to support hundreds of student entrepreneurs in the coming years.
He also encouraged students to develop sound financial habits, including maintaining an active bank account and building a positive financial record, saying these practices would improve future access to larger business financing.
ITI Chairman and Co-Founder Mr. Senthil Kumaran Sentheyval said the partnership provides students with an opportunity to become entrepreneurs.
“ITI aims to support students in putting the theories learned in the lecture rooms into practice and becoming self-enterprisers,” he said.
Mr. Sentheyval challenged the students to take responsibility for managing their businesses and repaying their loans.
“ITI is assisting your pathway to start your small business, but it is you, the students, who must manage and repay the credit, not the institution,” he said.
He stressed that the actions of the first group of students would determine the long-term success of the partnership with Women’s Microbank.
“If you don’t pay back the loans, it will affect this agreement and also affect other students’ opportunities. It starts now,” Mr. Sentheyval said.
Mr. Sentheyval said eligible students were selected based on their strong academic performance and good character as recognized by the institution.
He said the selected students had already completed a financial literacy training program and are expected to receive their loans by the end of this month.
Mr. Sentheyval also encouraged students to submit their business plans so the institution could assist them with preparing the necessary reports and guidance.