BUSINESS

Great interest recorded in state-guaranteed loans

TAGS: Business, Finance, Banking

The Guarantee Fund for the supply of loans to small, medium-sized and large companies with state collateral began operating on Wednesday with high expectations.

These working capital loans will have low requirements and favorable interest rates so as to provide liquidity to corporations during the crisis brought on by the coronavirus pandemic.

Applications started flowing in on Wednesday and demand is reportedly huge, as the program will exceed 7 billion euros by the end of the year, with 13 domestic banks participating.

Sources say the interest is around 2% for large enterprises and close to 3% for financially healthy smaller companies.

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