Mr. Speaker, I am pleased to present the Northwest Territories Business Credit Corporation's 1998 Annual Report. The Business Credit Corporation is dedicated to assisting economic development in the NWT and encouraging job opportunities by providing loans and contract security to northern entrepreneurs and businesses. As a provider of loans, the Business Credit Corporation recognizes the diverse needs of its northern clients and tailors financing as much as possible to meet their needs and expectations. The bulk of monies lent to northern businesses remain in the north creating economic spin-offs at the community level.
Mr. Speaker, I would like to mention some of the highlights during the year. Operationally, the Business Credit Corporation's approved loans grew by $14.6 million, which went to 119 northern businesses. This is an increase of 20 percent in the number of loans approved and over 62 percent in dollar terms over the previous year. The value of approved loans to all three community levels increased, with level 2 communities showing the greatest increase - 177 percent over the previous year, followed by a 48 percent in level 3 communities. In the level 1 communities, 46 percent of the value of approved loans were outside of Yellowknife, indicating a strong demand from the communities of Fort Smith, Hay River and Inuvik. The increase in approved loans over the previous year across the north, shows the continued economic growth of the northern economy and the important role of the government as a partner in stimulating job creation.
I am pleased to note that while the overall loan portfolio group, by almost 14 percent to over $31 million, the administrative expenses decreased slightly from the previous year. The Business Credit Corporation has become more efficient in delivering its services to northern businesses and will continue to do so in the future. In conclusion, Mr. Speaker, I wish to thank members of the board of directors for their guidance, support and commitment throughout the year and look forward to their continued dedication. Thank you.
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