HBOR partners with banks to provide €68m for rural development

Croatia's state-owned reconstruction and development bank HBOR has launched a joint project with three local banks to extend €68 million (HRK500 million) worth of investment loans for rural development.

HBOR signed an agreement with OTP Banka Hrvatska, Privredna Banka Zagreb and Zagrebacka Banka for the project.

The development bank will manage the allocation of the funds, while the three commercial banks will serve as intermediaries who will accept, process and pay out the loans to the final users.

The initiative will finance rural development projects worth up to HRK1 million. The loans will be extended for a period of 15 years with a possible grace period of three to five years.