A total of EUR 30 m for investors - European Investment Fund guarantees for cheap loans to SMEs

The European Investment Fund and UniCredit bank in Serbia signed agreement on guarantees for SMEs totaling EUR 320 m which will be approved at lower interest rates and with lower collateral, the president of the Executive Board at UniCredit bank, Claudio Cezario said,

- This practically means that companies for which it was difficult to get to loans will be able to indebt. The European Fund will practically guarantee for loans and we will be able to provide additional financial support to SMEs. Due to that guarantee, we can provide lower price- Cezario said for Tanjug.

The first man of UniCredit bank in Serbia says the real candidates for these loans good companies, with good business models but which, for instance, have lack of collateral or are rejected by banking inters rates.

Cezario specified the loans will be approved for investments and working assets while maximal amount is half a million euros in dinar counter value.. Maturity will be up to 12 months and up to eight years.

When asked when the companies can apply, he said some have already started sending requests.

According to him, the contract with the Fund specifies that a bank must launch EUR 30 m in two years’ time but he is, as he says, sure the funds will be launched already in a year.