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National Guarantee Fund supports over 400 beneficiaries of Regional Development Programme

The number of guaranteed loans in the last quarter of 2014 increased by 90%

 

From the launch of the guarantee scheme until end-2014, the Regional Development Programme (RDP) supported over 400 small and medium-sized companies, with over 100 guaranteed loans in the last quarter of 2014 alone. The total amount of NGF-guaranteed loans under the programme amounted to BGN 188 million. The good performance in the last quarter was also thanks to the 'Farmers and Banks' broadcast in the 'Furrows' TV show launched to promote projects whose financing was made possible by the assistance of the National Guarantee Fund.

Beneficiaries of projects under measure 121 of the RDP across the country continue to show the greatest interest in supported loans, which represent nearly 90% of the overall number of approved guarantees. The total amount of loans under this measure amounted to BGN 126 million.

In the last quarter, the largest number of guarantees was granted in the regions of Plovdiv and Shumen; since the launch of the scheme the region of Plovdiv again has had the largest number of beneficiaries. A large part of the supported projects are managed by small and medium-sized enterprises, with more than 80% of these having up to 5 employees.

The Guarantee Fund issued a guarantee complementary to the collateral up to 80% of the amount of loans to projects under measures 121 and 123 of the Rural Development Programme. The interest rate of the loans is lower than the normal rates and beneficiaries are exempt from fees and commissions. NGF-issued guarantees are for up to 10 years, and the deadline for receipt of funding under the scheme in September 2015.

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