Businesses pushing for cheaper loans

Wednesday, 11 March, 2009

The local business wants lower corporate lending interest rates. This was announced during the campaign of the National Association of Bulgarian Business (NABB), held under the motto ‘Banks – stop! Respect us!’

NABB has over 500 members from the small- and medium-size business. They all voiced the request for cheaper bank loans, as many were facing bankruptcy should financial institutions stopped financing their business.

‘It is no longer possible for us to refund our debts’, company owners commented. In their words, banks’ interest rates were between 11% and 14% for loans in local currency and about 8-9% for credits in EUR.

On their turn bankers forecasted that loan costs would keep on climbing. That’s why NABB wants the government to interfere and force banks to lower the interest rates for small- and medium-sized enterprises (SMEs).

Source: http://www.focus-fen.net/