Loans from the Government of the Republic of Serbia Program

Liquidity loans and permanent working capital financing loans – Dinars with

the currency clause

Loan beneficiaries:

Corporate companies and entrepreneurs registered in compliance with the law regulating corporate entities’ registration.

Purpose:

- financing of export-oriented business preparation

-  working capital purchase and liquidity financing

- rescheduling of existing loans with the Bank.

Purposes and activities that may not be financed:

loans may not be extended for the following activities:

- organizing gambling, lottery games, similar activities and purposes;

- production and trade of goods and services which are, in compliance with domestic regulations and international conventions and agreements, considered as forbidden;

- refinancing of loans with another bank.

Currency:

dinars with EUR exchange clause

Loan amount and amount of loan in utilization rescheduling:

maximum loan amount and amount of loan in utilization rescheduling (total with all banks through which the following loans are realized):

1. for entrepreneurs up to EUR 20,000.00

2. for small enterprise up to EUR 50,000.00

3. for medium enterprise up to EUR 500,000.00, (for loans with the purpose of preparation of the export-oriented business financing up to 1,000.000 EUR)

4. for large enterprise up to EUR 2,000,000.00 (for loans with the purpose of preparation of the export-oriented business financing up to 4,000.000 EUR)

In dinar counter value at the NBS medium exchange rate as at the date of releasing the loan.

Maximum loan amount for the actual export-oriented business financing (based on the agreement on the concluded export-oriented business) may not be higher than the amount of loan determined for corporate entities from the previous paragraph.

The client, who chooses to use the loan in Dinars with the currency clause, cannot take out a new loan pursuant to the Decree.

The Client granted with the highest amount in accordance with the client’s size, as in paragraph 1, cannot take out a new loan pursuant to the Decree.

Loan repayment term:                      

up to 12 months from the date of releasing the loan

Grace period

in accordance with the client’s request and Bank’ assessment

Loan repayment:

in monthly annuities (instalments), i.e., in a single amount

Exchange rate:

NBS medium exchange rate for loan disbursement, repayment of principal, calculation of interest and commission

Interest rate:

1. for export oriented business preparation,  purchase of working funds and liquidity – 3% annually
2. For rescheduling of the existing loans – 4,9% annually

Fees and commissions:

- application processing commission -  0.5% on the granted amount of the loan to be paid in a single payment;

- For rescheduling of loans released before September 30, 2008. – without commission for application processing;

Security: 

Security depends on the client’s credit standing.

Investments loans

Loan beneficiaries:

Corporate companies and entrepreneurs registered in compliance with the law regulating corporate entities’ registration.

Purpose:

- for investments

Purposes and activities that may not be financed:

loans may not be extended for the following activities:

- organizing gambling activities, lottery games, similar activities and purposes;

- production and trade of goods and services which are, in compliance with domestic regulations and international conventions and agreements, considered as forbidden;

- rescheduling of existing loans with the Bank and refinancing of loans with another bank.

Currency:

dinars with EUR exchange clause

Loan amount:

maximum total loan amount which can be realized by the loan beneficiary with business banks:

1. for entrepreneurs up to EUR 30,000.00

2. for small enterprise up to EUR 200,000.00

3. for medium enterprise up to EUR 1,500,000.00

4. for large enterprise up to EUR 1,500,000.00 (and upon meeting the conditions of the Guarantee Fund, up to EUR 4,000,000.00)

In dinar counter-value at the NBS medium exchange rate as at the date of releasing the loan.

Development Fund participates with 30% in the credit portion amount related to the preliminary calculation value of the investment, while the Bank participates with 70%.

Repayment

single amount/in tranches, according to the project realization schedule

Loan repayment term:                      

3 to 5 years including grace period

Grace period:

6 to 12 months from the date of releasing the l tranche of the loan

Loan repayment:

In equal three - month instalments upon expiry of the grace period, which mature on 01/01, 01/04, 01/07 and 01/10. 

Exchange rate:

NBS medium exchange rate for loan disbursement, repayment of principal, calculation of interest and commission

Interest rate:

nominal weighted interest rate including interest rate on funds invested from the Development Fund does not exceed three-month EURIBOR as at the calculation date +  4% at the annual level

Fees and commissions:

- 0.5% commission for application processing, in a single amount to the granted loan amount

Security: 

guarantee of the Guarantee Fund and other securities acceptable to the Bank( for the loan portion which is not covered by the Guarantee Fund guarantee)