Soon second installment of Italian credit

In period from July 14 to November 23, more than 50 of our businessmen submitted appeals for money from the credit line worth €33,250,000 approved by Italian Government to Serbia and Montenegro for development of small and mid-sized enterprises. The project manager "International menager group", Mira Tumara, stated that, so far, 16 credits had been approved, 8 of which had been realized, from the first installment of the credit. She also said that the start of the second installment in amount of €10m was expected. The credits are approved by HVB banka, Komercijalna and Delta banka in amount of 50,000 to €1m, with repayment periodof 8 years, annual interest rate of 4.9% and grace period of 2 years. The conditions are that the small enterprise was registered in Serbia at least one year ago, that it deals with the activities inside the sector, that 60% of the capital funds is private, that it is credit worthy, that it has positive financial report and that the managers have not been prosecuted. About 70% of credits are approved for procurement of equipment, spare parts, services and licenses from Italian partners, whereas 30% are reserved for the expenses in the country. The repayment of credit is semiannual and the warranty is mortgage on real estates. The credits cannot be used for financing of tax, entertainment, production of drinks, tobacco and armament.