Government to help areas hit by floods with RSD 1 billion

BELGRADE - The Serbian government decided on Saturday to provide RSD 1 billion as help in the rebuilding of the economy in the areas hit by the recent floods, and the money will be distributed through a programme of the Republic of Serbia Development Fund.

"Businesses will be able to get funds under good conditions from the Development Fund to buy new and repair old equipment, repair their facilities and finance their permanent working capital," according to a statement issued after the meeting of the government.

The loans will go up to the full value of the estimated damage, with the payment deadline of up to 7 years for investment loans and up to 4 years for loans intended for permanent working capital, and the interest rate will be 1.5 percent per year.

The maximum size of a single loan can be RSD 1.85 million and cannot exceed the damage estimates, says statement, specifying that the programme and detailed criteria and procedures required to receive a loan will be posted on the website of the Development Fund.

Photo Tanjug, R. Prelic