20-09-2011 12:51:10
Bulgarian Development Bank (BDB) contracted a new EUR 31 million credit line with the Black Sea Trade and Development Bank (BSTDB) for financing of small and medium sized enterprises. The Agreement was signed by Mr. Assen Yagodin – Chief Executive Officer of BDB and Mr. Andrey Kondakov – President of BSTDB.
The new credit line shall support the creation, modernizion and expansion of the activity of the Bulgarian small and medium sized enterprises. The funds shall be used for pre-export, export and working capital financing. From this funds will benefit SMEs with up to 250 employees and an annual turnover not greater than EUR 43 million (annual balance sheet total not greater than EUR 27 million respectively).
The credit line has been agreed at one of the most attractive pricings on the local market – floating interest amounting to 3M EURIBOR + margin of 2.65%.
"With a volume of 31 million the new credit line is currently the largest agreement on a stand alone basis, contracted by the Bulgarian Development Bank. This fact, complemented by the good pricing levels of the line, gives clear signal of the stable foundations of BDB, as well as of its potential for future development. We will take all necessary steps so that the positive effects of the credit lines are transferred to our customers – the Bulgarian small and medium enterprises. This is in fact the market segment, the hardest affected by the crisis, but at the same time it is the sector which shall back the sustainable future development of Bulgaria," said Assen Yagodin.
“This operation will have a development impact through creation of new jobs, increased export capacity and competitiveness of Bulgarian SMEs. The Black Sea Bank is fully committed to strengthening synergies with development finance institutions active in the region, leveraging lending to clients and promoting social cohesion” stated Andrey Kondakov, BSTDB President at the signing ceremony in Sofia.
The Bulgarian Development Bank is the only state-owned financial institution in Bulgaria established with the special purpose the provide with priority long-term funding to Bulgarian SMEs promoting Bulgarian exports and supporting sector and projects set as priority for the national economy.
The Black Sea Trade and Development Bank (BSTDB) is an international financial institution established by Albania, Armenia, Azerbaijan, Bulgaria, Georgia, Greece, Moldova, Romania, Russia, Turkey, and Ukraine. The BSTDB headquarters is in Thessaloniki, Greece. BSTDB supports economic development and regional cooperation by providing loans, credit lines, equity and guarantees for projects and trade financing in the public and private sectors in its member countries. The authorized capital of the Bank is SDR 3 billion (appx. EUR 3,3 billion). BSTDB is rated long-term A by Standard and Poor’s and A3 by Moody’s.
