BUDAPEST: Net of repayments, banks disbursed HUF 613.1 bln of loans by July 3 to small and medium-size enterprises (SMEs) in the second phase of the National Bank of Hungaryʼs (MNB) Funding for Growth Scheme (FGS), fresh data released by the central bank show.
Contracts signed under phase II, with 18,705 businesses, totaled HUF 782.3 bln by early July. Including the first phase of the scheme, in June-September 2013, financing under the FGS came to about HUF 1,500 bln, the central bank said. The credit went to almost 23,500 businesses.
Under the FGS, The MNB provides zero-interest refinancing to banks which they can lend to SMEs at an APR not exceeding 2.5%. The central bank launched phase II of the scheme in October 2013 for an initial volume of HUF 500 bln which it raised to HUF 1,000 bln in September 2014.
