ADVERTISEMENT

FGS Go! outlays reach HUF 2.22 tln

MNB

MNB building in Budapest.

Image by posztos / Shutterstock.com

Outlays of the Funding for Growth Scheme (FGS) Go!, a central bank program that aims to ensure SMEs cheap credit during the coronavirus crisis, have reached HUF 2.22 tln, the National Bank of Hungary (MNB) said according to a report by Hungarian news agency MTI.

The credit went to more than 34,000 businesses, MNB said.

The central bank launched FGS Go! - an extension of its Funding for Growth Scheme started in 2013 - in April 2020 to mitigate the economic fallout from the coronavirus crisis. Under the scheme, MNB is providing lenders with HUF 2.5 tln of 0% financing for microbusinesses and SME loans with fixed rates capped at 2.5%. The scheme is open to a broader range of businesses and conditions have been eased.

MNB said 33% of FGS Go! contract volume has been for new investments, while 56% has been for working capital and 11% is for refinancing earlier investment loans. About three-fourths have gone to SMEs in commerce, manufacturing, property development, farming and construction. Around 30% of the credit has gone to microbusinesses, while 35% has been disbursed to small businesses.

In April, MNB policymakers raised the allocation for FGS Go! from HUF 2.5 tln to HUF 3 tln.

ADVERTISEMENT

MKIK: Local business tax should be maintained Analysis

MKIK: Local business tax should be maintained

Parl't votes to phase out savings coops integration framewor... Parliament

Parl't votes to phase out savings coops integration framewor...

Roche Szolgáltató appoints P&C business partner lead Appointments

Roche Szolgáltató appoints P&C business partner lead

Budapest airport shuttle bus service expanded City

Budapest airport shuttle bus service expanded

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.