Northern Mariana Islands Added to Federal Microloan Program: New Access to Capital for Small Businesses

The newly introduced Northern Mariana Islands Small Business Access Act is straightforward: it expands eligibility for a key federal lending program to include the Commonwealth of the Northern Mariana Islands (CNMI).

Specifically, this bill amends the Small Business Act to officially include the CNMI in the federal microloan program. This program is designed to provide very small, short-term loans—up to $50,000—to small businesses, often those in underserved communities or those lacking a traditional credit history. Currently, the CNMI is not listed as an eligible location, meaning entrepreneurs there have been locked out of this specific funding stream. By adding the CNMI, the bill essentially opens the door for local entrepreneurs to access capital for things like buying equipment, securing inventory, or covering working capital costs. The bill also includes a minor, technical correction to existing language in the Small Business Act, updating a reference from “155” to “156” to reflect the addition of the CNMI (Sec. 2).

The Small Loan, Big Impact

For the average person, this isn't about huge government spending; it’s about leveling the playing field for small business owners in the CNMI. Think about a local baker who needs $15,000 to upgrade her oven, or a small fishing charter operator who needs $5,000 to repair his boat engine. Loans of this size are often too small for traditional banks to process efficiently, and that’s where the microloan program steps in, providing funds through intermediary non-profit community lenders.

If this bill becomes law, it means more than just money. It means local job creation and economic stability. For a territory like the CNMI, where small businesses are the backbone of the economy, having access to this federal capital program is a significant boost. It gives local lenders the tools they need to support the kind of ground-up entrepreneurship that drives local economies, helping small ventures grow into stable employers.

What Changes on the Ground?

Once implemented, the federal Small Business Administration (SBA) can start working with non-profit organizations in the CNMI to become microloan intermediaries. These organizations will then receive funds from the SBA to lend directly to local entrepreneurs. The process is already established in other territories, like Guam (which is already included in the program), so the infrastructure for rollout is relatively clear. The only real challenge is the administrative lift for the SBA and local organizations to set up the new lending partnerships, but the benefit—expanded access to capital—far outweighs that minor hurdle. The bottom line is that the Northern Mariana Islands are finally being included in a program designed specifically to fuel small business growth in places that need it most, giving local entrepreneurs a fair shot at federal support.