Šiaulių bankas signed the first risk sharing crediting agreement under the EIF Program
This week the financial instrument being mutually implemented by Šiaulių bankas and the European Investment Fund (EIF) intended to provide risk sharing loans started. Šiaulių bankas signed the first crediting agreement with Delintra UAB.
„I am convinced that soon will be more companies, which will be able to use modern and integrated financing forms. Risk sharing by the European Investment Fund and Šiaulių bankas creates favorable environment to the clients: loans’ weight becomes easier, reduced loans’ interest rates are applied, investments are managed more efficiently as well as working places are retained. All of this can be the relevant sign in stabilizing the state’s economy“, states Deputy Chairman of Šiaulių bankas Board Donatas Savickas.
The loan amounting nearly LTL 700 thousand (EUR 200 thousand) granted to the company „Delintra“ will be allocated to supplement the circulating assets and investments. Pursuant to the agreement Šiaulių bankas will finance half of the credit granted to the company providing transport and international transportation services; the same share of assets will be also allocated from EIF through Controlling Fund. This fund was established under the initiative of JEREMIE seeking to assist the companies in receiving additional financial sources from the European Union Structural Funds.
According to Daumantas Lapinskas, the Adviser of Minister of Economy, entrepreneurs receive circulating and investment assets that are very significant for the companies’ development. “As the economy is being stabilized, more favorable time to implement business development comes; and it is important to take advantage of this. I do hope that such preferential credits will be accessible to much wider number of business companies. It is particularly satisfying that the first credit was granted to the transport company because this sector was mostly affected by the crisis”, said D. Lapinskas.
Pursuant to the cooperation agreement signed by the European Investment Fund and Šiaulių bankas, more than LTL 138 million (EUR 40 million) is allocated to the instruments of risk sharing loans. Due to the agreement Šiaulių bankas is able to increase the crediting volume to small and medium business. The credits can be granted to them in Litas or Euro for the period of 2-7 years. Minimum credit sum - EUR 50 thousand, maximum - EUR 400 thousand.
Implementing the risk sharing instrument, Šiaulių bankas will continue investing return on loans’ assets, i.e. will use to grant new business loans to small and medium business. According to the data as of the end of 2009, 63 per cent of the whole loan portfolio of Šiaulių bankas comprised loans to small and medium business.
Common possible sum comprises in total LTL 1.02 billion (EUR 294 million) under the support instruments of EU Structural Funds to business by preferential credits form administrated by EIF.