The co-financing program involves the implementation of co-financing jointly with international financial funds and banks of the Kyrgyz Republic. This type of lending involves the issuance of syndicated loans to large economic entities intending to work with large national projects.

Loan product No. 3
Program "Co-financing"

Content

Own contribution
The project owner must make his own contribution in the amount of at least 10% of the project cost; in the case of project financing, own contribution must be at least 30% (own contribution can be made in the form of cash, property, including intellectual property, land, fixed assets, etc.).
Financing collateral can be
· Guarantees of the State bodies of the Kyrgyz Republic, the Cabinet of Ministers, international financial institutions, banks and the Guarantee Fund of the Kyrgyz Republic;
· Government securities of the Kyrgyz Republic;
· Real estate, incl. land;
· Equipment, vehicles;
· Guarantees of third parties, the acceptability of which is assessed by the Bank in accordance with the Bank's Collateral Policy;
· Other types of collateral in accordance with the Bank's Collateral Policy.
Valuation of collateral
· To assess the value of project assets and/or collateral, the Bank may use the services of an independent appraisal company included by the Bank in the list of partner companies posted on the website of the Development Fund and the Bank;
· The date of the valuation should not exceed 6 (six) months from the date of submission of the application for funding;
· The Bank reserves the right to change the cost of the assessment.
Repayment schedule
· For interest - it is possible to provide a grace period for payment up to 9 months;
· For the main debt - it is possible to provide a deferral of payment up to 12 months;
Insurance
By decision of the Board, the Bank may include a requirement to insure the collateral or financed asset under the project.
Special conditions
· All costs associated with the loan and registration of collateral, as well as its insurance are paid by the Borrower;
· The borrower is responsible for the safety and proper use of the collateral;
Penalty for misuse of credit funds
In case of misuse of credit funds, the interest rate increases to 20% per annum. The Bank reserves the right to submit information about the misuse of credit funds by the client to the Credit Information Bureau.
Restrictions
The bank does not provide:
· a loan without collateral;
· credits for trading operations and working capital outside of project financing;
· loans to individuals;
· Loans in the presence of overdue obligations on previously issued loans