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Working capital loan programme for agriculture

 

Working capital loan programme for agriculture

 

Since May 5, 2010 Hipoteku banka has launched a new loan programme by granting working capital loans for agricultural producers, including agricultural service cooperative societies and fruit and vegetable producer groups.

The amount of loan - from 5 to 700 tshd. LVL (in the case of o-operative unions providing agricultural services - up to 2 mln. LVL)

Maturity- up to 2 years.

Loans are granted both in euro and lats and additionaly  the Rural Development Fund  guarantees can be attracted.

The loan interest rates:

 - EUR - fixed interest rate from 4.5%;variable interest rate from 3%plus 6 months

 - LVL - fixed from 6%

(The loan rates may vary depending on the price of the resources set by the Treasury).

The loans in the frame of the programme will be provided until 31 December 2013.

In deciding whether to grant a loan, Hipoteku banka  will evaluate the company's ability to repay the loan: the borrower's credit history; analysis of the company's financial situation, income and expenditure structure, the current operation, the planned income and expenditure forecasts and financial position for the next production cycle, the adequacy of loan collateral, etc.

For more detailed information on conditions of the agricultural working capital loans and the documents to be applied, please, contact credit specialists in the branches of Hipoteku banka.