Romanian SMEs applied for EUR 7 bln of Govt.-guaranteed loans in 2020-2021

The Romanian small and medium enterprises signed last year 25,586 loan contracts under the Government-backed scheme IMM Invest, worth a total of RON 14.2 bln (nearly EUR 3 bln). In the first five months of 2021, they submitted requests for some 17,000 loans worth RON 20.3 bln (over EUR 4 bln).

Out of the loans requested this year, 13,967 worth RON 16 bln are under the same scheme IMM Invest, and another 2,849 loans worth RON 4.3 bln are submitted under the new scheme dedicated to farmers AGRO, Ziarul Financiar reported.

Under the schemas, the Government subsidises the managing fee and the risk fee charged by the bank during the whole period of the contract, and it also subsidises the interest for eight months.

The facility already made a significant impact on corporate bank lending: despite the adverse circumstances, the stock of corporate loans (local currency) surged by 17% yoy as of April - reversing the -0.03% y/y negative performance displayed last April, at the outset of the crisis.

For running the program, the National Credit Guarantee Fund for SMEs (FNGCIMM - the body managing the schemes) has signed guarantee agreements with 23 banks: Banca Transilvania, BCR, CEC Bank, Raiffeisen Bank, BRD GSG, Unicredit Bank, Alpha Bank, Intesa Sanpaolo Bank, Exim Bank, OTP Bank, Banca Romaneasca, ING Bank, First Bank, Credit Agricole Bank, Patria Bank, Libra Bank, Porsche Bank, Pro Credit Bank, Vista Bank, Idea Bank, Garanti Bank, Banca Română de Credite şi Investiţii, Techventures Bank.

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