Lending is gaining more and more importance as the pace of economic growth is accelerating, Minister for National Economy Mihály Varga said at the opening of an MFB info point at an OTP Bank branch in the third district of Budapest. The Minister, who is MP from constituencies in the 2nd and 3rd districts of Budapest, noted that MFB info points had been designed to make the allocation of EU funds cheaper, faster and more efficient, and as such they were one of a kind in the EU.

The Government stimulates lending through various incentives, he added. One of the main objectives of these is to get EU funds to enterprises which can most optimally use them in the fastest way possible.

Thanks to the Hungarian Development Bank (MFB) and financial institutions participating in the consortium, a network could be created that brings loans closer to enterprises, the Minister stressed. It is a sign of success, he said, that the number of companies assisted by the EU’s lending schemes aiming to improve SME competitiveness has reached more than 1300 by now.

A common characteristic of these financial instruments is that they are to be refunded, and this encourages bidders to make properly evaluated business plans and implement their investment plans efficiently, Mihály Varga stated. In the first half of the programming period 2014-2020, the Government is to publish calls to bid for tenders that cover some 75 percent of the overall available amount of HUF 750bn.

The number of new MFB info points is now 126, the Minister said. Until year-end, another 74 points are scheduled to be opened, and thus the total number of network units through which EU-funded and preferential combined loans can be obtained will be 642.

In 2017, the amount of EU funds projected to be channeled to borrowers is some HUF 60bn: of this, HUF 52bn is for enterprises and more than HUF 8bn is for private persons, Mihály Varga noted.

(Ministry for National Economy)