Banks disburse HUF 705.9 bln of loans in phase II of Funding for Growth Scheme
Net of repayments, banks disbursed HUF 705.9 bln of loans by October 2 to small and medium-size enterprises (SMEs) in the second phase of the National Bank of Hungaryʼs (MNB) Funding for Growth Scheme (FGS), fresh data released by the central bank show.
Contracts signed under phase II with 21,875 businesses totaled HUF 1,014.1 bln by the start of October.
Including the first phase of the scheme, in June-September 2013, financing under the FGS came to about HUF 1,715 bln, the central bank said. The credit went to about 26,000 businesses.
Under the FGS, The MNB provides zero-interest refinancing to banks which they can lend to SMEs at an APR not exceeding 2.5%.
The central bank launched phase II of the scheme in October 2013 for an initial volume of HUF 500 bln which it raised to HUF 1,000 bln in September 2014.
In September unused funds from the HUF 500 bln Funding for Growth Scheme+ (FGS+) programme were reallocated to the original FGS scheme.
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