ZAGREB, Sept 3 (Hina) - Management board representatives of Erste & Steiermaerkische Bank (ESB) and the World Bank's International Financial Corporation (IFC) on Tuesday signed an agreement whereby the IFC grants the ESB 20 million
euros for mortgage housing loans.
ZAGREB, Sept 3 (Hina) - Management board representatives of Erste &
Steiermaerkische Bank (ESB) and the World Bank's International
Financial Corporation (IFC) on Tuesday signed an agreement whereby
the IFC grants the ESB 20 million euros for mortgage housing loans.
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The loan has been approved for a period of ten years, with a three-
year grace and a "favourable, variable interest rate, dependent on
the movement of the state's credit rating," said Tomislav Vuic, the
ESB chairman of the board.
The funds will be used solely for loans for housebuilding and the
purchase or adaptation of housing facilities, with an interest rate
ranging between 6.85 and 7.99 percent, depending on the term of
payment and the amount of the deposit.
Vuic said the ESB had stepped up the issuing of housing loans. In the
first eight months of this year, 84.5 million kuna (EUR11.4
million) worth of such loans have been granted, twice the amount at
the same time last year.
The IFC director for South Europe and Central Asia, Khosrow Zamani,
who signed today's agreement, said the IFC had thus far invested
more than US$200 million in various Croatian projects.
(hina) ha sb