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USAID TO SELL ITS PORTFOLIO OF LOANS IN BOSNIA TO LOCAL BANKS

SARAJEVO, May 21 (Hina) - The U.S. Agency for International Development (USAID) has offered to commercial banks in Bosnia-Herzegovina to buy the portfolio of loans this organisation has so far granted in Bosnia. The portfolio is worth 90 million convertible marks (approx. US$45 million).
SARAJEVO, May 21 (Hina) - The U.S. Agency for International Development (USAID) has offered to commercial banks in Bosnia- Herzegovina to buy the portfolio of loans this organisation has so far granted in Bosnia. The portfolio is worth 90 million convertible marks (approx. US$45 million). #L# According to reports in the local press on Wednesday, the purchase of the portfolio would virtually wrap up the USAID programme of support to entrepreneurship in Bosnia. Since 1996, the USAID has given $600 million of loans to companies in Bosnia within that programme of support which helped save 26,000 jobs and create 10,000 new ones. The USAID has proposed to commercial banks that the loans, already approved to local companies, be paid back to those banks. USAID director Howard Sumka declined to speculate which banks were ready to purchase the portfolio. The governor of the Bosnian Central Bank, Peter Nicoll, has described the USAID decision as an important proof of the strengthening of the banking system in Bosnia. (hina) ms

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