New mechanism of guaranteeting portfolio of loans to be created in Moldova

Chisinau, 30 July /MOLDPRES/ - A new financial mechanism – ‘’portfolio guarantees’’, meant for small- and medium-sized enterprises, will appear on Moldova’s financial market in the near future. The concept of this initiative has been recently discussed at a workshop, with the participation of experts in the field and representatives of financial institutions. The implementation of this mechanism will stimulate the increase in the ceiling of guarantees by at least one billion lei, which will be assimilated by financial and banking institutions on a period of two years at the most.       

Thus, the loans demanded by small- and medium-sized enterprises (SMEs) from commercial banks will contain the guarantee included in the credit product, exempting the entrepreneurs from submitting applications on guaranteeing and from the payment of commissions. The concept of the mechanism of guaranteeing loans was elaborated by the LANDT consultancy company, specialized in the creation and management of guarantee funds, in cooperation with specialists of the Organization for the Small and Medium-Sized Enterprises Sector Development (ODIMM). The carrying out of this project will be possible with the support of the Development Facility of the European Fund for Southeast Europe (EFSE DF).   

„In the context of the reviving of the work of SMEs, hit by the pandemic crisis, the launch of the new mechanism of credits’ guaranteeing is badly necessary and opportune. This financial instrument will be adjusted and connected to the needs of the bank institutions, being attractive for the business environment,’’ the secretary general of the Economics and Infrastructure Ministry, Lilia Palii, said.  

For her part, the ODIMM director general, Iulia Costin, stressed that, through this innovative initiative, the mechanism of guaranteeing used by the Loans Guaranteeing Fund would switch to a new development level.   

The representatives of the financial institutions attending the event welcomed the ODIMM’s initiative and showed openness for continuing the partnership relations and consolidating the efforts to enhance the SMEs’ access to financing.  

The new mechanism is elaborated in the context of the enhancement of the demands for the individual guarantees provided by the ODIMM’s Loans Guaranteeing Fund.  

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