UAB Medicinos bankas entered into the contract with German Kreditanstalt für
Wiederaufbau (hereinafter referred to as – KfW) and the Council of Europe
Development Bank (hereinafter referred to as - CEB) on the 3 million EUR (10,36
million LTL) value credit line for funding very small (micro), small and medium
-sized companies. Funds for financing the Lithuanian projects are assigned subject
to the preliminary action plan of the European Union support. Farmers and
agricultural companies will also be eligible to benefit from the credits of KfW funds.
Mr. Kęstutis Olšauskas, the Head of Administration of UAB Medicinos Bankas,
says: “During this economically complicated to Lithuania period, KfW credit
will enable us to support one of the most vulnerable parts of economy – small
and medium -sized companies. We do hope that favorable crediting conditions
will increase competitiveness of these companies and therefore help survive
the crisis period”.
The following expenditures will be credited from KfW funds: purchasing of
equipment and devices; repair of equipment; purchasing of vehicles; acquisition
and repair of premises provided that the company will operate in these premises;
current assets; other long-term capital investments. Projects currently in progress
will not be eligible for crediting from these funds.
The term of the granted credit will depend on the term of implementation of the
business plan provided by the client, however no longer than up to September 1st,
Up to 60 percent of the amount required for investment can be covered by the
current assets of small and medium-sized companies, however this amount must
not exceed the maximum limits allowed for the client. Exceptions are available for
very small companies that can apply for funding the entire current assets. Maximum
value of the credit granted to the company is 90 percent of the total Project value,
whereas the client must invest the remaining 10 percent of own funds. Average
credit sum is 25 000 EUR.
Credit insurances are offered by UAB „Investicijų ir verslo garantijos“ (Invega) and
UAB „Žemės ūkio paskolų garantijų fondas“. Credits can be guaranteed by offering
the realty as a pledge ot by providing other guarantees acceptable to the bank.
This is the second credit line received by UAB Medicinos bankas from KfW for
financing very small (micro), small and medium-sized companies. The first credit
line of 5 million EUR received in February, 2006 has already been successfully used.
Applications are welcome at all branches of UAB Medicinos bankas as well as
Customer service Departments.
Currently UAB Medicinos has 44 Customer Service Departments, 10 branches and
43 Currency Exchange Offices.
Saulius Karosas, who owns 97,64 percent of the bank’s shares jointly with his
directly owned company „Western Petroleum Limited“ is the principal
shareholder of UAB Medicinos bankas.