In association with KfW, Volksbank to grant 10m EUR worth of loans for realization of energy efficiency improvement projects

Volksbank announced on Friday (September 11, 2009) that it had started granting loans in association with German development bank KfW for realization of the energy efficiency improvement projects. According to the announcement, Volksbank will approve total of 10m EUR worth of loans to small and mid-sized enterprises and population.

The Manager of Retail Sector, Petar Grujić, said that the condition for financing was that the project enabled saving of minimum 20% of energy. As he explained, the loans will be granted for reconstruction of residential and office space, as well as for procurement of equipment.

According to the announcement, the effective interest rate from that credit line amounts to minimum 7.08% on annual basis for reconstruction of residential space, 10.74% for reconstruction of office space, and 11.4% for equipment and vehicles, as well as for consumer loans for citizens.