OREANDA-NEWS. Belarus Development is going to issue a Br480 billion loan to OJSC Promagroleasing for the purchase of forestry and road repair machines.

The loan will be issued on terms of monthly payment starting January 2015 with an interest rate equal to the current NBB refinance rate (23.5% at present time).

The Development Bank was established on June 21, 2011 after Belarusian President Alexander Lukashenko signed ordinance #261 to create open joint-stock company Bank of Development of the Republic of Belarus.

The Development Bank is Belarus' agent bank to service and repay state loans and external loans attracted against a government security and extended to finance projects included in state programs.

In late 2013 the Development Bank of Belarus raised its statutory capital by 50% to Br8.5 trillion (USD 892.9 million at the NBB rate), in accordance with President Lukashenko's ordinance #576 of December 28, 2013.

The statutory capital of the bank increased at the expense of a Br2.8 trillion contribution (USD 294 million) made by the Finance Ministry of Belarus.

As result of this move the shareholding structure of the bank has changed. The government now holds a 94.518% stake (up from 91.8%) in the Development Bank of Belarus, while the share of OAO Belaruskali reduced from 8.17% to 5.465%, the National Bank of Belarus - down to 0.017% from 0.03%.