Loan guarantees for sports and community clubs would create jobs and boost business creation.

Zane DeSilva, Minister of Sport, said yesterday that Government’s financial clout could be used to help struggling clubs become self-sufficient, rather than to back banks, hotel developments and restaurants.

Mr DeSilva said: “We believe that the community as a whole will benefit from this initiative through the creation of jobs, and possibly even new entrepreneurships.

“Additionally, this initiative can have a positive impact on youth development, since new facilities may allow for the expansion of youth programming at the different clubs, and we will encourage that.”

He added the level of financial assistance had not been decided.

But Mr DeSilva said: “There will likely be a cap on the size of all loans on which Government will issue a guarantee.”

“I must stress that what the Government intends to do is to provide a loan guarantee, not a loan itself. Government is not a lending institution.”

Mr DeSilva was speaking at a press conference set up to outline some of Government’s plan for his portfolio.

Asked about the level of investment he thought was needed to bring clubs up to the level to positively impact the community Mr DeSilva said: “I have no idea. We know that many of them struggle.

“It’s our goal to have them come back to us with any ideas with regards to infrastructure improvements, whether it be someone may want to open up a restaurant, someone may want to encourage different youth programmes or expansion of youth programmes. So we have no idea.

“One thing we do know is that past governments have issued guarantees of hundreds of millions of dollars.

“I don’t think we’re going to be up in that bracket.”

He added that he did not know what the application process would be or what conditions clubs interested in securing a loan would have to satisfy.

Mr DeSilva said: “We have no idea what the clubs might have in mind.

“The main thing is that we want all clubs — community clubs, football clubs, and even some cricket clubs — we want them to come to us with their ideas because we know a lot of them struggle.

“The good thing, we’re hoping, is that when they come to us with some of these plans and dreams and visions we will be able to lend them support.”

Mr DeSilva also highlighted the need for financial assistance reform, amendments to the Children Act, and a plan for a green paper to examine Bermuda’s drug policies.