COVID - 19 measures

Moratorium, rescheduling of existing loan obligations towards HBOR, new favourable loans for liquidity
Portfolio insurance policies as collateral for loan approval
Interest rates from 0% on HBOR's sources

In order to mitigate the adverse impacts of COVID-19 (coronavirus) pandemic, HBOR implements new measures aimed at maintaining the level of economic activity, keeping the liquidity of economic operators stable and, most importantly, preserving jobs.


Therefore, entrepreneurs are able to use a moratorium and reschedule their existing loan obligations towards HBOR and are offered new liquidity loans at favourable terms and conditions in cooperation with commercial banks or directly.


To facilitate the approval of liquidity loans at favourable terms and conditions in cooperation with commercial banks and to speed up the recovery of as many entrepreneurs as possible whose operations have been adversely affected by the COVID-19 pandemic, insurance of exporters’ liquidity loan portfolio has been introduced for loans intended for exporters, indirect exporters and tourism industry.


Description of measures implemented by HBOR


ProgrammeLoan Potential, HRK millionsBenefitsLaunchedImplementationStatus
Moratorium on and Rescheduling of Loans Moratorium duration
up to 16 months
27.3.2020Direct lending and on-lending via banksActive
Working Capital COVID-191,500Interest rate
from 0%
on HBOR’s share
30.3.2020On-lending via 14 banks*Active
Working Capital for Wood Processing and Furniture Production220Interest rate
from 0%
on HBOR’s share
19.5.2020 On-lending via 14 banks*Active
Working Capital through Framework for Banks1,200Interest rate
reduced by 0.75 pp
22.5.2020On-lending via 8 banks**Active
Working Capital for Rural Development 130Interest rate
1.6.2020Direct lendingActive
Working Capital for Tourism Industry 600Interest rate
from 0%
15.4.2020Direct lendingApplications received until
5th June
Insurance of Loan Portfolio5,561Insurance of 90% of the approved loan amount8.4.2020Via 15 banks***Active


Moratorium on existing obligations

HBOR has enabled its clients who have been granted a direct loan,moratorium of 7 to up to 16 months:

  • up to 7 months, i.e. until 30 September 2020 –  for all clients,
  • up to 10 months, i.e. until 31 December 2020 – for clients with positive COVID score according to FINA (Financial Agency) methodology (or those who otherwise prove a fall in the level of income),
  • up to 16 months, i.e. until 30 June 2021 – for clients active in the tourism industry.


The borrowers, to whom loans under HBOR’s loan programmes have been granted through commercial banks, have to submit their moratorium applications to the commercial banks through which loans have been on-lent to them. HBOR is willing to support any moratorium application submitted by clients to whom loans under HBOR’s loan programmes have been approved through commercial banks or under risk-sharing models.



Rescheduling of loan obligations

Beneficiaries of HBOR loans will be provided rescheduling of existing loan obligations with a grace period introduced in the loan principal repayment. Each client will individually negotiate rescheduling of its obligations according to its repayment potential.


This measure will be available to all beneficiaries of HBOR loans, regardless of whether the loan was granted directly or via commercial banks.


Clients will submit their applications for rescheduling of loans either to their commercial banks or HBOR, depending on the manner of approval of existing loan.


New loans for liquidity

Entrepreneurs are also provided favourable HBOR funds for financing their liquidity, which are approved in cooperation with commercial banks or directly to entrepreneurs in certain activities.


Half of the loan at an interest rate of 0% or a rate reduced by 0.75 p. p.

Entrepreneurs can apply for working capital loans via banks under the risk-sharing model with banks (loan programmes Working Capital COVID-19 Measure and Working Capital for Entrepreneurs in Wood Processing and Furniture Production Industry) and through framework loans to banks. Funds under the risk sharing model are approved at an interest rate from 0% on HBOR’s half of the loan, and liquidity loans based on framework loans to banks at an interest rate lower by 0.75 p. p. than the regular one.


Working capital loans at an interest rate of 0.5%

Working Capital Loans for Rural Development are approved directly by HBOR, as well as  loans for entrepreneurs from the tourism industry for which applications were received by 5 June 2020. By that date, HBOR received a total of 556 applications, many of them having been approved already.


Insurance of 90% of the amount of principle 

Besides favourable loans, HBOR has launched a new loan portfolio insurance programme for exporters’ liquidity. This programme facilitates and accelerates the granting of new funds for maintaining the liquidity of exporters and indirect exporters as HBOR insures 90% of the amount of principal of approved loans included by the banks into the portfolio.



In cooperation with other domestic and foreign institutions, HBOR also works actively on adopting other measures.