The state's top economic development official, J. Michael Saul, has called on lawmakers to pass legislation that would make it easier for small businesses to borrow money.

Saul, acting executive director of the state Economic Development Corporation, said the loan guarantees are a "crucial component" of Governor Carcieri's proposed $200 million small business stimulus bill.

The U.S. Small Business Administration offers a program guaranteeing between 40 percent and 75 percent of bank loans to small businesses. Under Carcieri's plan, the state would also guarantee a portion of bank loans, allowing banks to loan money confident that at least 90 percent of the loan would be repaid if the business defaults.

Full Story: Economic development chief pushing stimulus plan Source: Providence Journal, January 28th, 2009 Author: Benjamin N. Gedan Added on January 30th, 2009 at 10:04 am, by Matt Mikula