OREANDA-NEWS. October 26, 2011. Siauliu bankas starts granting micro-credits under the new European Progress Microfinance Facility (Progress Microfinance): credits to micro-enterprises, individual enterprises and entrepreneurs will become more accessible and access will become simpler.  Particularly favorable conditions on credit provision are to female entrepreneurs, reported the press-centre of Siauliu bankas.

In June this year the European Investment Fund and Siauliu bankas signed the first agreement in Lithuania under EU Progress Microfinance to benefit micro-enterprises. These credits are intended not only for expansion of micro-enterprises but also for stimulation of establishment of new micro-enterprises and female entrepreneurship. Credits are provided to enterprises with less than 10 employees.

“Small business is the foundation of healthy and flexible economy. It requires small but quick and simple financing. Micro-credits were created for this reason: credits are provided within 1-2 business days since the submission of documents. No fees on provision of credits are applied for these credits. Clients are provided with the opportunity to defer the beginning of credit repayment up to 12 months” - says Vytautas Sinius, the Head of Corporate Banking Division of Siauliu bankas.

In Siauliu bankas micro-credits are provided in Litas and Euros; maximum amount of one micro-credit to one borrower is EUR 25 000 (LTL 86 320). The term of credit is from 1 to 5 years.

According to V. Sinius the purpose of micro-credits can be very different: they can be used to finance production dvelopment, transport services, small restaurant or cafe, workshops, tailor’s workshop and etc. The ones wishing to submit application to receive micro-credit under this facility can apply to any outlet of Siauliu bankas in their city.

About  Siauliu bankas
Siauliu bankas controlled by the Lithuanian investors and the European Bank for Reconstruction and Development (EBRD) directs its activity towards the SME and provision of financial services to individuals. Siauliu bankas is one of the banks having the largest share of the Lithuanian capital in the country: companies registered in Lithuania and individuals possess 71 per cent of the Bank’s authorised capital. The Bank possesses 52 territorial outlets operating throughout the Lithuania.

About the European Progress Microfinance Facility
The European Progress Microfinance Facility is a microfinance initiative established with EUR 200 million of funding from the European Commission and the European Investment Bank. This European Progress Microfinance Facility aims to increase access to finance for micro-entrepreneurs, including the self-employed. It has a particular focus on, but is not restricted to, groups with limited access to the conventional credit market. Examples include female entrepreneurs, young entrepreneurs, entrepreneurs belonging to a minority group, entrepreneurs with a disability, sole traders etc.