OREANDA-NEWS. November 24, 2014. Sberbank and the Credit Guarantee Agency (CGA) have reached an agreement on providing Sberbank’s Trust product for small business under CGA’s guarantee as collateral.

A CGA guarantee will enable clients to receive Trust at a lowered interest rate – 4 percentage points lower than the standard rate, for 2 to 3 years, or 3 percentage points lower – for up to 2 years.

“The Trust loan guaranteed by CGA will amount to a maximum of 3 million roubles and will be issued for up to 3 years. The goal of the loan is to help small businesses acquire fixed assets, including equipment, vehicles, and so on. A direct irrevocable guarantee provided by CGA will serve as collateral and will be worth 50% of the loan’s principal. Additional property is not required to secure the loan,” commented Senior Vice-President of Sberbank Svetlana Sagaidak.

Sberbank takes no more than three working days to review loan applications. CGA requires one day to issue a guarantee.

In June 2014 Sberbank and the Credit Guarantee Agency signed a cooperation agreement aimed at improving the conditions for bank lending to small and medium businesses under the state programme for supporting small and medium business.