OREANDA-NEWS. May 30, 2011. The European Bank for Reconstruction and Development (EBRD) and BPS-Bank signed the Facility Agreement on financing of small and medium business enterprises and private entrepreneurs for the total amount of USD 50 million, reported the press-centre of BPS-Bank.

SME financing in the Republic of Belarus presupposes issue of medium- and long-term loans to small- and medium-sized companies and private entrepreneurs in the Republic of Belarus for acquisition and modernization of fixed assets, introduction of new technologies, development of export-oriented and import-replacing production, expansion and diversification of main lines of business.

USD 10 million of EBRD loan will be allocated to financing of micro- and small enterprises, and the remaining USD 40 million will be utilized for lending to small and medium business companies. The size of an individual loan for a micro enterprise wil be up to USD 200,000, and up to USD 3 million for small and medium businesses.

The loans will be issued with the maturity up to 5 years. The funds will be provided for financing of circulating capital and capital expenditures.

The loan agreement was signed in continuation of cooperation started last December when EBRD provided a trade finance facilitation line for USD 40 million to the bank.