US SBA issues notice withdrawing access of loans to non-US citizens, withdrawal could affect Pacific islands
In a Feb. 2 announcement of a Dec. 19 procedural notice the U.S. Small Business Administration announced that its loans will no longer be available to non-U.S. citizens, typically permanent residents or green card holders as of March 1.
Previously, lawful permanent residents of the U.S. — to include those in the U.S. territories — have had access to such loans.
The US SBA announced that its loans will no longer be available to non-U.S. citizens on Feb. 2.
The Journal understands there may be legal challenges to the notice.
Resident citizens of Palau, the Federated States of Micronesia, and the Marshall Islands have also had access to SBA loans through the Pacific Islands Small Business Development Center network.
GranilloFrederick Granillo, network director for the SBDC network, told the Journal SBDC was aware of the procedural notice, and had reached out to the SBA to clarify the situation with the freely associated states. He said, “We posed the question to the SBA, but have not received a response.” Granillo said it was his understanding that the Compacts of Free Association provide eligibility for SBA loans to citizens of the three countries.
The SBA partners with various lenders, but Granillo said in recent times businesses have mostly worked with development banks in the three countries or with the Pacific Islands Development Bank mbj - This is a developing story. Sign up for MBJ news alerts on www.mbjguam.com
A regional tropical cyclone formation alert has been issued as a developing weather disturbance northwest of Yap threatens to strengthen the seasonal monsoon across western Micronesia and the Mariana Islands.
Meteorologists warn that catastrophic winds from Super Typhoon Bavi are bearing down on Rota, prompting the National Weather Service to issue an extreme wind warning early Monday. The NWS issues such alerts when sustained winds of 120 mph or more are expected.
With Super Typhoon Bavi now packing maximum sustained winds of 160 mph and forecast to strengthen further as it moves toward the Marianas, emergency officials are urging businesses and residents to treat this weekend as their critical window to prepare for potentially damaging winds.
