Concessional lending in 2014 was reduced by almost half

BAKU/08.04.14/TURAN : The volume of consession loans issued in 2014 by the National Entrepreneurship Support Fund (NESF) declined significantly .

According to the Fund, to finance 1,014 investment projects, loans of 44.7 million were granted for a little over three months, while in the same period in 2013, 669 projects were credited funds of 83 million manat.

The reason for such a significant decline in lending in the period under review due to the mixing of emphasis from large projects to small and medium loans. Traditionally same in his portfolios dominated by large loans. Their share in total loans only in the last year amounted to nearly 80 %.

On standards of NESF, from 5,000 to 50,000 manats are considered small loans , from 50,000 to 500,000 manats - average loans and from 500,000 to 10 million manats are large loans .

NESF was established in 1992 and active lending by the Fund began in 2002. Issuance of loans to entrepreneurs is made by 38 authorized banks and non-banking credit organizations. In 2013, the Fund for the financing of 4,500 investment projects allocated 275 million manat. NESF loans in 2014 are projected at 280 million manat, of which 150 million manat comes from the state budget , the rest will be provided by the return of credits. - 15B -