Postbank has signed agreements with the European Investment Fund, joining the JEREMIE and COSME guarantee programs, which will allow the bank to support the liquidity needs and projects of micro, small and medium-sized enterprises in the current very challenging economic environment.
Under the JEREMIE initiative, the total volume of the portfolio of financed transactions could reach up to EUR 75 million and the maximum amount of each transaction stands at up to EUR 3 million for working capital or trade finance in the form of bank guarantees, letters of credit or factoring. Clients may take advantage of relieved conditions for collateral requirements and lower financing costs (interest rates, fees and commissions).
Companies may take advantage of this type of guarantee instrument and sign agreements for loans, documentary transactions or factoring in the following 36 months.
The JEREMIE initiative is open for companies from all sectors (excluding farmers), for SMEs with up to 250 personnel and annual turnover of up to BGN 97.5 million, and larger companies, the so-called small mid-caps, with up to 500 personnel.
The COSME initiative, which Postbank has joined as a partner, is available for SMEs, including start-ups, with operating history of up to one year. Companies may join the guarantee initiative in the following 36 months and benefit from substantial relief in guarantee conditions for working capital or investment loans. The maximum volume of the loan portfolio financed by the program is EUR 71.6 million.
"Loan guarantee instruments have proven their efficiency as a measure to support the urgent liquidity needs of the private sector. Postbank believes it is essential to act as a partner of the business in the current situation. Our involvement in the two initiatives is yet another step with which we demonstrate that we are standing right next to our clients and their needs even in hard times, and that we actively support the measures for dealing with the Covid-19 economic impact,” Postbank states.
More information about the business products is available at www.postbank.bg.