Determined framework for using the six billion of the agreement with the United Kingdom, with lower interest rate

The Strategic Partnership Agreement with the United Kingdom has agreed a 6 billion -euro framework of which the country will drag funds in line with the realization of projects, and the interest rate will be approved, and is still in the process of negotiating, as well as the agreements we have with other international institutions. This was stated by Finance Minister Gordana Dimitrievska-Kochoska in an interview with Radio Leader.

-When some investments are agreed, a framework should be determined first, ie the first moment is the framework that is 6 billion euros in this case, which does not mean that it will be fully used now and immediately. Something needs to be done to withdraw funds, ie borrowing begins at the moment when it begins to pay – said the finance minist, adding that it is unjustified to withdraw funds and stand unused.

She added that the interest rate is still being negotiated and this should be confirmed, but thinks it will certainly be lower than the 7% the state pays for the realization of the project of « Bechtel and Enka », ie Corridors 8 and 10D.

-Project funding, building infrastructure projects that you leave to future generations to be funded with 5% interest rate, 7% is the ruin for the budget. The interest will be at the level we receive from other international institutions with which we cooperate as the World Bank, European Bank for Reconstruction and Development, European Investment Bank and the like – the minister said.

He reiterated that the first payment, as announced by the Prime Minister and the Vice President of the Government, would be in 2027.

-I have no details about the project, but I can say that the invoice will come when something is realized. So there is room to do certain things, and then to pay – the minister said.

According to the minister, the British Government’s interest in signing this agreement is the same interest as other international institutions with which we have similar cooperation, but that the most important thing is that they have confidence in the Government. He emphasized that he cannot get into what is being discussed in detail, because the agreement is within the Ministry of Transport and Communications, and that he can speak from the point of view of the economist.

-In the economy there is an factual situation, trust and security should be trusted. How will someone give us money if there is no security. We’re talking about a complete package. First there is a state that provides our country’s hand, providing us with funding under the same conditions and on much longer deadlines. And we know that the higher the deadline for the longer the risk is – the minister said.

He noted that a positive impact on the project on the growth and amount of public debt is expected. He shared that public debt, lower borrowing and a moment when he entered the surplus in order to be able to repay debt.

Regarding the funds provided by the Hungarian loan to support the private sector, ie companies, said that the conditions under which the funds to the end users were approved. He pointed out that there are conditions under which the Development Bank places funds to commercial banks, and they approve of the trees, process them and the risk is with them.