Affordable loans granted by ProCredit Bank along with a DFC-USAID Guarantee Scheme
ProCredit Bank has initiated the approval of loans for liquidity, working capital, and fixed assets for agricultural producers, as well as entrepreneurs, small and medium-sized enterprises engaged in the production and processing of fruits and vegetables, meat, milk, and cereals.
More favourable lending conditions, coupled with reduced collateral requirements, result from an agreement signed between the bank and USAID. This involves a guarantee scheme launched by the DFC (U.S. International Development Finance Corporation) and USAID (United States Agency for International Development) with the support of the Ministry of Agriculture, aiming to stimulate less developed regions through affordable bank loans.
- The loans in question are loans that can be quickly disbursed. In the case of loans with a guarantee scheme, it will not be necessary to request collateral from clients, as the guarantee scheme covers up to 60% of the loan’s principal amount. Such support is crucial for a large number of clients, agricultural producers, and businesses, who will easily and straightforwardly access additional financial resources at ProCredit Bank," says Ana Milić, Head of the Business Department at ProCredit Bank.
The minimum amount of a loan that may be approved under this guarantee scheme is EUR 10,000, while the maximum amount is EUR 6.6 million. The loan repayment period may be set at up to 120 months, i.e. for as long as 10 years.
Drawing on our previous multi-year experience in disbursing loans using various guarantee schemes in our portfolio, we are confident that the new programme is extremely beneficial and that a large number of entrepreneurs and agricultural producers will make excellent use of it. ProCredit Bank will, as always, be there for all its clients, aiming to provide them with maximum support in overcoming all challenges, including those arising from the business impacts of the coronavirus pandemic, emphasised Milić.
