In 1990 the Fisheries and Farm Development Loan Boards had a
combined staff of approximately 60. Following the 1992 Northern
Cod moratorium the Fisheries Loan Board was gradually downsized.
In 1995, the two boards were amalgamated and became a subsidiary
of Enterprise Newfoundland and Labrador Corp. under the name
Fisheries and Farm Development Loans Inc. (FFDLI) with a combined
staff of 15.
The Fisheries Loan Board provided loans and loan guarantees to fishermen buying boats and equipment. Following the moratorium when many fishermen experienced reduced income, the Board instituted an Interest Forgiveness Program. Some 400 out of 4,000 FFDLI clients benefitted from this program in 1994, the last year this program was provided. The amount budgeted by the province for this program is $1.3 million but the amount spent has historically been less. The program is terminated with this budget both for the 1995 and 1996 seasons.
Much of FFDLI's loan activity has historically been centred on items which should be financed by commercial lenders. Many operations rely on FFDLI for working capital, money that should more rightly be provided by a bank. However, if a fisherman or farmer wishes to pursue new business opportunities, such as the exploitation of a new or under-utilized species, the Department will consider assistance on a case-by-case basis.