FIB TO CREDIT EXPORT, SUPPORTED BY TO USAID
The US agency for international development (USAID) is going to provide partial guarantees on loans launched by First Investment Bank (FIB) to small and medium-sized enterprises. USAID administrator Andrew Natsios signed an agreement with FIB on September 10 to encourage crediting in competitive sectors of the economy. The ceremony was attended by the US Ambassador to Bulgaria H.E. Richard Miles and FIB's Eexecutive Director Maya Georgieva.The guarantee programme allows crediting worth up to USD20MN and will be valid for 7 years. USAID will guarantee 50% of each loan, but the total amount cannot exceed BGL10MN. The advantage of this agreement is that FIB will require collateral only on the credit amount which is not guaranteed by USAID.The bank will launch credits to private Bulgarian companies operating in the field of tourism, information technologies, transport and light industry in order to stimulate their export. The loans will range from USD500,000 to USD1MN. However, credits could exceed this limit depending on the decision of FIB's experts. The loans will be repayable in 1 to 7 years. They will be launched in BG levs, US dollars or euro. The agreement is expected to directly effect the amount of Bulgarian export and the national economic growth.