EBRD will lend a loan in the amount of 30 million euros and a grant in the amount of 4.5 million euros for small and medium enterprises for the improvement of their production capacities and the quality of products by introduction of EU standards.

“If one company takes a loan in the amount of 1 million euros, it will mean that 150.000 euros will serve as a grant and that 850.000 euros will have to be returned” announced the Vice Prime Minister for Economic Affairs, Kocho Angjushev during today’s official start of the Program for Support of Competitiveness for small and medium-sized enterprises at Holiday Inn hotel.

Head of the Economy Department of the EU Delegation, Janmaat Freek said that small and medium-sized enterprises in this country have difficulties to find finances.

Even though the banking sector is profitable and liquid, access to assets for small and medium- sized enterprises is difficult. Small and medium-sized enterprises are facing with difficulties in using these assets. They have no capacities to write a good business plan, which will raise the risk at the banks and the loans will get more expensive for small finances. Also, providing a guarantee is also a problem” said Freek.

He also said that the assets’ goal is to strengthen the competitiveness with investments in software, technology, equipment, management upgrade.

During the first three months, assets were approved for 10 companies while 15 applications are in an advanced phase of approval.