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SARAJEVO, June 11 (Hina) - Chairman of the Bosnia-Herzegovina
Presidency Alija Izetbegovic and World Bank mission deputy chief
Saymia Mitra on Thursday signed an agreement on activating World
Bank loans for the reconstruction of Bosnia-Herzegovina.
The agreement activated previously agreed resources of US$100
million.
Most of the money is intended as support to budgets of the two
entities, with the Croat-Moslem Federation receiving US$33
million, and the Bosnian Serb republic US$30 million.
According to Mitra, all four loans for which agreements have been
signed on Thursday have been granted under exceptionally
favourable conditions - with the time of repayment being 35 years
and a grace period of 10 years.
The interest rate is 0.75 per cent, which will be paid annually for
debt servicing.
The World Bank is at the moment realising 24 different
reconstruction projects in Bosnia-Herzegovina, worth US$535
million. New loans have been announced for next year and should be
granted under the current conditions.
(hina) lml as
111534 MET jun 98
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