Loan Programme for Development of Communal Infrastructure



1. Final Borrowers


  • units of local and regional government
  • utility companies
  • companies and other legal entities


Pursuant to the Conflict of Interest Prevention Act (Official Gazette of the Republic of Croatia Nos. 26/11, 12/12, 126/12, 57/15), restrictions are in force on lending to business entities whose ownership interests are owned by public officials and their family members. The provisions of these restrictions are deemed a constituent part of HBOR loan programmes. The full wording of the restrictions can be found at: Restrictions on Lending to State Officials.


2. Purpose of Loans


I. Fixed Assets  

  • initial funding
  • land plots
  • buildings
  • equipment and devices


II. Permanent working capital  

  • only for investments in social infrastructure (up to 30% of the total loan amount)



3. Manner of Implementation


  • via commercial banks
  • risk-sharing model – small and medium enterprises
  • risk-sharing model
  • direct lending
  • subordinated debt model


4. Loan Amount, Disbursement Period and Repayment


Loan amount
  • the maximum loan amount is not limited and depends on HBOR’s financing capabilities, the investment project, the creditworthiness of the final borrower, the value and quality of security offered
  • loans are approved in HRK indexed to foreign currency
HBOR finances up to 75% of the estimated investment value, VAT not included. Exceptionally, HBOR may finance up to 100% of estimated value, VAT not included for units of local and regional government and utility companies in their ownership. HBOR can, in certain cases, consider a possibility of financing the estimated investment value with VAT.
Disbursement period up to 12 months
Grace period up to 5 years
Repayment period up to 15 years, including grace period


5. Interest


4% p.a.


As an exception, in the case of financing projects exceeding HRK 37 milion, HBOR reserves the right to approve loans at a higher interest rate in accordance with the available funding sources.


Borrowers, which, according to the state aid rules can be grouped into entrepreneurs, credit is approved by the stimulating interest rate, depending on the purpose of the project financed, and what is necessary to assess with regard to all the circumstances of the individual investments.


Interest rate is variable based on the Decision of HBOR Managing Bord, and pursuant to the criteria of the HBOR’s Decision on Interest Rates and the Interest Calculation Regulations. Interest rate is fixed for loans that are approved directly or via commercial banks on public tenders.


6. Loan Application Fee


0.8% one-off, charged on the committed amount


7. Commitment Fee


0.25% p.a., charged on the committed undisbursed loan amount, starting 30 days after the loan contract date


8. Security


For securing due fulfilment of loan obligations, HBOR accepts:


  • bills of exchange and debentures
  • pledge of property of transfer of fiduciary title to property supported by property insurance policy endorsed in favor of HBOR
  • bank guarantees,
  • guarantees issued by HAMAG-BICRO
  • guarantees issued by the Republic of Croatia
  • other customary security in the banking operations


In the case of loan through commercial bank final borrower arrange collateral with commercial bank.


9. Commercial banks Co-operating with HBOR on the Loan Programme


  1. Addiko Bank d.d., Zagreb (RS SME); (RS)
  2. Banka Kovanica d.d., Varaždin
  3. Croatia banka d.d., Zagreb
  4. Erste & Steiermärkische bank d.d., Rijeka (RS SME); (RS)
  5. Hrvatska poštanska banka d.d., Zagreb (RS SME); (RS)
  6. Istarska Kreditna banka Umag d.d., Umag (RS SME)
  7. KentBank d.d., Zagreb
  8. Karlovačka banka d.d., Karlovac
  9. OTP banka Hrvatska d.d., Zadar (RS SME); (RS)
  10. Partner banka d.d., Zagreb
  11. Podravska banka d.d., Koprivnica (RS SME); (RS)
  12. Privredna banka Zagreb d.d., Zagreb (RS SME)
  13. Raiffeisenbank Austria d.d., Zagreb (RS SME); (RS)
  14. Sberbank d.d., Zagreb (RS SME); (RS)
  15. Slatinska banka d.d., Slatina (RS SME); (RS)
  16. Société Générale-Splitska banka d.d., Split (RS SME)
  17. Zagrebačka banka d.d., Zagreb (RS SME); (RS)


The aforementioned commercial banks have been included into the financing through commercial banks.


Those commercial banks that have been included also into the financing under the risk-sharing model SME are marked by acronym RS SME; those that have been included also into the financing under the risk-sharing model are marked by acronym RS.


More detailed information can be found in the complete wording of the Loan Programme or at:
HBOR, Strossmayerov trg 9, 10000 Zagreb
Phone: +385 1 /4591 666