Angola’s Banco de Comércio e Indústria (BCI) Thursday began to pay out the first three loans to Angolan companies as part of the Angola Invest programme, of a joint value of 434 million kwanzas (US$4.5 million), according to Angolan news agency Angop.
The bank provided 367 million kwanzas to a medium-sized company from Kwanza Sul province, in order to fund a food processing unit to produce fruit juice and pulp and 35 million kwanzas to a small company focused on producing food, with its headquarters in Luanda.
The third company received 32 million kwanzas to start a business linked to production, purification and sale of mineral water in the Kwanza Norte region.
As part of the Angola Invest programme, BCI signed a contract with the Angolan government to manage 2 billion kwanzas, 1 billion of which are earmarked for subsidised loans and the remainder for loans via the Guarantee Fund set up by the government.
Of the 20 banks involved in the Angola Invest government programme, BCI is the first to provide subsidised loans to micro, small and medium-sized companies.
The subsidised credit lines give business owners access to loans with a maximum yearly interest rate of 5 percent, and the State makes up the difference between this rate and the standard commercial rate.
According to the regulations of the Angola Invest programme, micro companies can receive funding of up to 20 million kwanzas, small companies can receive up to 150 million kwanzas and medium-sized companies have access to loans of up to 500 million kwanzas.
The Angola Invest programme is intended to create and strengthen micro, small and medium-sized Angolan companies and offers subsidised loans and state guarantees. The programme’s priority sectors are agriculture, livestock, fishing, construction materials, manufacturing sector support services, the manufacturing industry, geology and mining. (macauhub)