Three Hawaii banks just walked away with U.S. Small Business Administration Lender of the Year honors for fiscal 2025, even as SBA lending across the state slipped from the prior year. First Hawaiian Bank, Central Pacific Bank and Hawaii National Bank were recognized as the institutions that originated the most SBA‑guaranteed loans in their respective size categories, highlighting lenders that kept working SBA programs during a softer lending year and tighter borrowing conditions for many local small businesses.
As reported by Pacific Business News, First Hawaiian and Hawaii National earned top honors based on fiscal 2025 lending totals, while Central Pacific was named the Hawaii Lender of the Year in Category II for mid-size lenders. The outlet also noted that statewide SBA loan volume decreased from the prior year, underscoring a drop in demand for guaranteed small‑business loans across the islands.
Central Pacific’s SBA Hot Streak Hits 17th Win
Central Pacific Bank's parent said the bank won the Hawaii Lender of the Year award in Category II for fiscal 2025, marking its 17th such honor since 2004. In a press release via Business Wire, Central Pacific Financial quoted CEO Arnold Martines saying, "We are proud to be named as Hawaii SBA lender of the year for the 17th time," and framed the award as recognition of the bank's ongoing support for small businesses across the islands.
Big Bank and Community Players Share SBA Spotlight
First Hawaiian Bank captured the top spot in the large‑lender category for fiscal 2025, a win the bank highlighted in its newsroom as part of a push to keep capital flowing to local firms. In a news release on First Hawaiian Bank's site, the bank said it remains focused on helping small businesses navigate higher costs and tighter credit. Pacific Business News' coverage lists Hawaii National Bank among the fiscal‑2025 honorees as well, showing recognition across institution sizes.
Why the Loan Pipeline Is Slowing
The awards spotlight lenders that stayed active on SBA programs, but they do not erase broader access problems for small firms. A 2025 UHERO report found nearly 30% of small businesses reported barriers to financing and that about 42% of respondents cited high interest rates as an obstacle, a pattern local economists point to when explaining the drop in SBA loan demand. The UHERO findings recommend targeted outreach and technical assistance to help eligible firms access guaranteed loans while the cost of capital remains elevated.
Banks say they will continue offering SBA products to qualifying borrowers, and the honors provide a public validation of their capacity even as origination volumes cool. For owners weighing expansion or refinancing, lenders and local advisers recommend starting conversations early with an SBA‑approved lender or the district office to understand program rules and fit.
