Serbia agrees $400mn guarantee scheme with US’ DFC for bank loans to businesses

By bne IntelliNews April 28, 2021

Serbia’s finance ministry said on April 28 it agreed a new guarantee scheme with the US Development Finance Corporation (DFC), which foresees the DFC to provide $400mn as guarantees for Serbian banks to approve loans to local companies.

The guarantee scheme arrangement is part of the Washington agreement signed by Serbia President Aleksandar Vucic and former US president Donald Trump in September 2020.

Finance Minister Sinisa Mali said in the statement that the official signing of the agreement on the new guarantee scheme, as well as the completion of the DFC agreement with the banks in Serbia, is expected soon.

“We managed to conclude a final agreement with the DFC on the first $400mn for the Serbian economy. Last week, two new guarantee schemes of additional €1bn were adopted in addition to the existing guarantee schemes, which Serbia will use in cooperation with the banks to mitigate the negative consequences of the pandemic,” Mali said in the statement.

Following the signing, the money will be available as loans to local companies for liquidity, innovation and investment.

Serbia is the first country in the region, and among the first in the world, to conclude such an agreement with DFC.

Read in IntelliNews Pro
Get IntelliNews Pro

Related Articles

EIF signs guarantee agreements with 11 banks in Western Balkans, unlocking €750mn for small businesses

The European Investment Fund (EIF), part of the EIB Group, said on April 15 that it has signed guarantee agreements with 11 banks and financial intermediaries in the Western Balkans. These ... more

EIB surpasses investment milestone in the Western Balkans by investing €1.2bn in 2023

EIB Global, the financial arm of the European Investment Bank (EIB) for activities beyond the EU, set a new record by investing €1.2bn in the Western Balkans in 2023, the EIB said on February 9. ... ... more

EBRD and AIK Banka forge €50mn loan for Serbian SMEs

The European Bank for Reconstruction and Development (EBRD) is partnering with AIK Banka to provide a €50mn loan for local small and medium-sized enterprises (SMEs) in ... more

Follow Us On

Most Read

  1. Iran vs Israel: Who is better equipped for war?
    5 days ago
  2. Saudi Arabia to scale back plans for Neom city
    9 days ago
  3. BREAKING: Iraq, Syria and Jordan close airspace amid Iranian strike on Israel
    6 days ago
  4. PANNIER: Caspian military drills that exclude Russia and Iran have some people in Moscow asking questions
    7 days ago
  5. Oil continues to flow to Israel via Turkey despite Erdogan’s vehement speeches on plight of Gaza
    5 months ago
  1. Russia could pay off its entire external debt tomorrow, in cash
    20 days ago
  2. Speculation swirls of “Men in Blue” in Crocus City Hall terrorist attack linked to FSB
    24 days ago
  3. Albanians campaign on social media to keep bus bridge created in freak accident
    1 year ago
  4. UBN: Russia could take the Baltic states in 48 hours
    29 days ago
  5. BRICS announce a blockchain-based payment system to create a common currency
    22 days ago

Reports

Dismiss