HBOR Loans with guarantee of the European Investment Fund (EIF) under the Pan-European Guarantee Fund (EGF)

The EIF guarantee under the EGF will be used for directly approved loans under current HBOR loan programmes contracted until the available funds have been disbursed in full, and no later than 31 December 2022:

Main Terms and Conditions

  • Reduction of the regular interest rate under current HBOR loan programmes by 0.403 p.p., whereby the interest rate cannot be lower than 0.00% p.a.,


  • Loans security with obligatory collaterals only - bills of exchange and debentures.
  • Private sector business entities performing an economic activity (except in the financial sector), regardless of their legal form (companies, crafts businesses, sole traders, family farms within the VAT system, cooperatives and institutions) as follows:
    • micro, small and medium-sized enterprises in accordance with the Commission Recommendation 2003/361/EC of 6 May 2003 and its changes and amendments (The Commission Recommendation), which:
      • employ on average fewer than 250 persons in a year, and
      • according to the financial report for the previous year, the annual turnover of which does not exceed the equivalent value of EUR 50 million or an annual balance sheet total (if they are subject to profits tax), or non-current assets (if they are subject to income tax), do not exceed the equivalent value of EUR 43 million,
    • small Mid-caps: entities that are neither micro, small nor medium entities and employ up to 499 persons.
  • Business entities that were not in difficulties on 31 December 2019. Exceptionally, micro and small entrepreneurs that were not in difficulties on 31 December 2019 cane be eligible borrowers, provided that they are not subject to a complete bankruptcy procedure in accordance with the national law and if they have not received restructuring or rehabilitation aid that has not been repaid (aid in the form of a loan) or cancelled (aid in the form of a guarantee).
  • Business entities must not be later with payment of any obligations due to other creditors
  • Financing of working capital according to current HBOR loan programmes
  • Financing of investments in fixed assets (and working capital related to the investment) according to current  HBOR loan programmes
  • Direct lending - the borrower sends its Application and supporting documentation directly to HBOR
The maximum amount of a single loan:
  • In accordance with the current HBOR loan programme
The maximum amount of a single loan:
  • EUR 7.5 million, and depending on the aid regulations, the following restrictions apply:
  • For guarantees based on the Temporary framework*, section 3.1.: the maximum loan amount is EUR 2,571,428, i.e. the equivalent amount in Kuna,
  • For guarantees based on the Temporary framework, section 3.2., the maximum loan amount must not exceed:
  1. the amount of twice the annual salary expenditure of the borrower (including social security contributions and the cost of personnel employed at the company's location, but formally at the sub-contractor's payroll) for 2019 or for the latest available year. In the case of borrowers established on 1 January 2019 or after that date, the maximum loan amount may not exceed the estimated annual salary expenses for the first two years of operation; or
  2. 25% of total income/receipts in 2019 or in the last available year; or
  3. the estimated financing needs of the borrower for a period of 18 months, with an appropriate explanation  and based on the borrower's statement on the assessment of needs.
  • *Temporary framework for state aid measures to support the economy in the current COVID-19 pandemic (OJ C91I, 20. 3. 2020) and all its amendments.
  • In accordance with the current HBOR loan programmes,
  • Guarantee issuance fee: no fee
  • Disbursement period, grace period and repayment period are determined in accordance with the current HBOR loan programme, where:
    • the total duration (disbursement period and grace period) of working capital loan must not be shorter than 3 months or longer than 6 years
    • the total duration (disbursement period, grace period and repayment period) of loan for financing investments must not be shorter than 3 months  or longer than 12 years
    • according to the Temporary framework, section 3.2., the duration of guarantee must not be longer than 6 years, and the possible duration of the loan is determined by HBOR
  • EIF guarantee in the amount of 70% of outstanding loan principal and/or regular interest calculated in a period of up to 90 years, and
  • Other collaterals in accordance with the valid HBOR loan programmes, whereby HBOR may request additional collaterals for investment loans, the duration of which would be longer than the guarantee duration.
Final eligibility for the approval of loans with EIF guarantee is determined by HBOR in accordance with the specific conditions prescribed by the EIF as guarantee provider under the EGF.

This programme uses the support of the EGF Guarantee instrument, which is implemented by the European Investment Fund with the financial support of the member states that contribute to the EGF.