Encouragement Bank AD granted a credit line of EUR 1,1 million to D Commerce Bank AD for financing of small and medium-sized enterprises. The Agreement was signed on 29 October 2007 by the Executive Directors of Encouragement Bank Dimitar Dimitrov and Sasho Tchakalski and for D Commerce Bank AD by Malik Agim and Radka Nikodimova.
The funds are granted for a 3 year period. They will be used for financing of investment projects of micro, small and medium-sized enterprises with more than 50% private share in the capital, and of working capital, as well.
D Commerce Bank AD receives a credit line in accordance with a Loan Agreement signed between the Government of Republic of Bulgaria and Encouragement Bank AD in April 2007. The funds are granted from Federal Republic of Germany under an agreement signed in 2001. The total amount of the credit line is EUR 4 928 704,66 and will be used on a revolving principle for a 10 year period.
The credit line is the third one granted by Encouragement Bank AD from the beginning of the year under the above mentioned Agreement. In June 2007 funds were granted to Investbank AD and in July to Tokuda Bank AD. The total amount of the loans granted is near EUR 4 million.
