Financial instrument for actualization and renovation of cultural heritage

2018-12-21

Viešųjų investicijų plėtros agentūra UAB (VIPA) and Šiaulių Bankas AB have signed an agreement regarding a new financial facility for actualization of cultural heritage objects. Under this agreement loans will be issued to public and private legal entities managing cultural heritage objects.

The Cultural Heritage Fund is a fund established by the VIPA, Finance and Culture Ministries to promote investments in actualization of cultural heritage objects. Up to EUR 5 mln  from the European Regional Development Fund are assigned to this fund. The aim of the loans is to promote investment in cultural heritage objects in order to adapt them to the needs of society, to preserve and reveal valuable properties of heritage objects, to adapt them to various needs, to increase the interest of the Lithuanian people in the cultural heritage, to improve the image of Lithuania as an attractive tourism country in Lithuanian and foreign markets.

Šiaulių Bankas has been selected as a manager for this financial facility. The maximum loan limit per beneficiary is  EUR 1 mln.  Loan maturity can reach up to 15 years, the interest rate will comprise of 6 months EURIBOR plus 1% bank's margin, the maximum interest rate will not exceed the annual interest of 3 per cent.

Loans  for actualization and renovation of a cultural heritage will be provided only for projects that are in line with the  requirements of  the Programme for Modernization of Cultural Objects . The critical financing condition -  the object must be included in the Register of Cultural Heritage of the Republic of Lithuania in accordance with the Law on the Protection of Immovable Cultural Heritage of the Republic of Lithuania and the project which includes investments in the object of cultural heritage and marketing instruments to create additional (new) flows of visitors. Also, at least 5 years after the end of the project financing, people must be allowed to visit the reconstructed cultural heritage object.

It needs to be noted that projects for actualization of cultural heritage objects can be combined with projects of heritage management of these objects,  related subsidies or other facilities.

Call for application under the new facility will be announced by Šiaulių Bankas in Q1 2019.