PROCREDIT BANK DRAWS EUR10MN CREDIT
ProCredit Bank and the German state-owned bank Kreditanstalt fur Wiederaufbau (KfW) closed an agreement on August 10 under which the Bulgarian financial institution got a credit line of EUR10MN. The document was signed by Dr. Breunig, Managing Vice President of KfW, by Susane Decker, Chairperson of ProCredit Bank's Management Board, and by its Executive Director Peter Slavov. ProCredit Bank will use the money from the new credit line to finance the allocation of housing loans. The credit line is for a ten-year period and the money will be absorbed in two tranches of EUR6MN and EUR4MN, respectively. The funds will enable ProCredit Bank to release more long-term housing credits at fixed interest rate levels. In that way the bank's clients won't be at risk in case of steep changes in the interest rate and will be surer when planning their family budget in the long run. ProCredit Bank has been operating on the Bulgarian market since October 15, 2001. Its main target is financing of small and medium-sized business and it offers a full package of bank services. The new housing credits are the successive new product, supplementing the wide range of the bank's offers. In mid-2005 the balance sheet value of ProCredit Bank totalled BGN406.9MN. Attracted money from citizens and companies amounted to BGN181.8MN, and long-term loans from abroad were BGN121.1MN. The financial institution has extended loans of BGN316.1MN, of which only BGN27.2MN are consumer and housing credits.