State fund guarantees loans

Only healthy and consistent enterprises will have access to the state-guaranteed working capital funded by commercial banks and the Guarantee Fund.

The Fund will operate under the umbrella of the Hellenic Development Bank and, according to the announcement of the latter's president and chief executive officer Athina Hatzipetrou, "the working capital will be financed on favorable terms and with reduced collateral."

The draft contract with the banks provides that "the guarantee of the Fund does not aim to strengthen the liquidity or capital adequacy of credit institutions that ought to pass on the advantage of the guarantee to the enterprises through the reduction of collateral requirements and/or reducing the cost of borrowing."

Enterprises will be able to submit applications until May 26, following the signing of their loan contracts with banks, so that the...