European Investment Bank Considers Financing for Krk LNG Terminal
18 July 2016, VG Intelligence Weekly Issue 15
On 11 July, the European Investment Bank (EIB) and the state-owned Croatian Bank for Reconstruction and Development (HBOR) signed a cooperation agreement, paving the way for Croatian SMEs to receive €250 million for their projects. According to the EIB Vice-President Dario Scannapieco, the EIB is also considering financing the construction of the Krk LNG terminal and the construction of the project’s access pipelines.
Regarding the abovementioned SME agreement, this is the second part of a €500 million credit line for SMEs; the first €250 million tranche advanced to the HBOR was signed in 2014. The funds are earmarked for projects in the areas of industry, services and tourism, and other priority sectors. The loan was granted for 12 years, with a grace period of four years and at an interest rate of 0.5%. The interest rate for loan beneficiaries will be between 2% and 4%, depending on the credit line. The loan is part of the bank’s “Jobs for Youth Initiative” policy, whereby the EIB and HBOR offer additional support to final beneficiaries, provided the latter can demonstrate that their projects contribute to the creation of jobs for young people.
“This operation re-affirms our commitment to support the Croatian economy and also strengthens our well-established 15-year cooperation with the HBOR. On the basis of the EIB-HBOR partnership, more than €2 billion of new resources have been channelled to Croatia over the recent years through SME, midcap and local municipality projects,” noted Scannapieco…