Bank Vostok starts accepting applications under Affordable Loans at 5-9% program for small businesses
KYIV. Feb 7 (Interfax-Ukraine) – Bank Vostok has begun accepting applications for lending to micro and small enterprises under the government program Affordable Loans at 5-7-9%, the financial institution’s website reports.
“Bank Vostok develops support for entrepreneurship and begins accepting applications for lending to micro and small businesses within the framework of the state program Affordable Loans at 5-7-9%, introduced at the initiative of the president and the prime minister of Ukraine,” the statement said.
As reported, four state-owned banks, including PrivatBank, Oschadbank, Ukreximbank and Ukrgasbank, have signed agreements with the Entrepreneurship Development Fund to participate in the implementation of the Affordable Loans at 5-7-9% program.
Under the state program, entrepreneurs will be able to obtain loans for business development for up to five years in the amount of up to UAH 1.5 million, while the state will compensate entrepreneurs for part of interest on the loan.
The provision of three possible rates of 5%, 7% or 9% for loans will depend on the size of the business and the duration of its activities. Additionally, the lending rate will be reduced by 0.5% per annum for each employee, but not less than to 5% per annum.
