Volume of KredEx enterprise loan guarantees increased by 30%

KredEx guaranteed and financed 422 enterprises in the total amount of 73 million euros in 2014. In addition, valid guarantee agreements of 207 companies were amended. The support of KredEx made it possible for companies to include additional financing from banks and KredEx in the amount of 121 million euros. The supported enterprises had 9,500 employees. As a result of the projects, 1,100 new jobs were planned to be created.

“For us, it was a very busy year. KredEx guarantees in the amount of 68 million euros made it possible for companies to include additional financing from banks in the amount of 115 million euros. The volume of guarantees issued increased by 30% in comparison to the previous year. This is the largest volume of guarantees issued by KredEx during a single calendar year in its history. The previous record was set in 2010,” Lehar Kütt, Head of the Enterprise Division of KredEx, said.

Last year, KredEx guarantees were used most for overdrafts and turnover loans (37% of the issued volume), followed by investment loans and leases (34%) and bank guarantees (29%).

By areas, the KredEx guarantee was used the most by enterprises in the area of construction (22%), research, professional and technical practice (10%), metal industry (9%), wholesale and retail (7%), timber industry (6%) and chemical industry (6%). The share of other areas of activity remained below 5% in the guarantee volume issued during the year. The proportion of enterprises in the processing industry amounted to 38%.

“It is noteworthy that the proportion of enterprises with up to 49 employees made up 73% of the volume of guarantees issued. By the number of employees, micro and small enterprises make up 94% of the clients of KredEx,” Kütt added.

Since 2001, KredEx has provided guarantees for the financial obligations of 3,000 enterprises in the total amount of EUR 474 million, making it possible for companies to receive co-financing from banks totalling EUR 928 million. The funded enterprises had 85,000 employees and as a result of the projects, an estimated number of 11,600 new job positions have been created.