Scratchpad ()

Investment readjustment

Finance and Taxes

The possibly most successful initiative under OP Competitiveness at this point - JEREMIE – will undergo a particular readjustment. One of its funds – the Growth Fund, with a total capital of EUR 60 million, was supposed to invest between EUR 2 – 5 million per deal on the expansion of local business. JEREMIE provided half of the funds, while securing the other half in private capital was the responsibility of the professional fund managers from Axxess Capital. Following a year and a half of unsuccessful attempts to collect the additional capital the EUR 30 million allocated to the Growth Fund will be reallocated to the JEREMIE’s business crediting scheme. This way additional resource will be provided for business crediting with preferential interest. The scheme has been active since the beginning of the year. Its initial resource was around EUR 380 million, part of which secured by the commercial banks participating in the scheme – ProCredit Bank, SG Expressbank, First Investment Bank, Allianz Bank and UniCredit Bulbank. Thanks to the financing under JEREMIE they issue loans to SMEs at half the standard interest rates or around 4% since the beginning of the year, the Capital Daily reads.

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