Working Capital COVID-19 Measure for SMEs in the Tourism Industry

COVID-19 Measure for SMEs in the Tourism Industry was implemented as a temporary measure under the Working Capital loan programme and was applied on applications received and approved by HBOR by 5th June 2020.


Micro, small and medium-sized enterprises as defined by the Small Business Development Promotion Act and the European Commission Recommendation 2003/361/EC of 6 May 2003 with registered main activities as follows: Activities
  • Accommodation and food service activities (National Classification of Activities - NKD 55.10, 55.20, 55.30, 55.90, 56.10, 56.21, 56.29);
  • Travel agency and tour operator activities (NKD 79.11, 79.12);
  • Renting and leasing of water transport equipment – charter agencies (NKD 77.34);
Terms and Conditions whose business activity has been reduced or completely discontinued as a result of extraordinary circumstances caused by the COVID-19 pandemic in the following manner:
  •  a decline in operating income/receipts in Q1 2020 has been recorded compared to Q1 2019 or lower operating income/receipts are expected for 2020 than operating income/receipts for 2019; and/or
  • reservations, events, congresses, seminars etc. have been cancelled; and/or
  • contracted business, reservations and/or orders have been cancelled.
Borrowers have to prove that the difficulties in their operations are the result of the COVID-19 (coronavirus) pandemic. Loans can be granted to entrepreneurs that are not in difficulties* i.e. that that have fallen into temporary difficulties only because of the crisis caused by the COVID-19 outbreak. *Loans cannot be granted to entrepreneurs that were in difficulties on 31 December 2019 (in accordance with the provisions of Article 2 point 18 of the Commission Regulation (EU) No. 651/2014 of 17 June 2014 declaring certain categories of aid compatible with the internal market in application of Articles 107 and 108 of the Treaty (OJ L 187 of 26 June 2014).

Purpose of Loans

  • Financing of salaries, overheads and other basic operating expenses (the so-called ‘idle mode’); purchase of raw materials, settlement of obligations towards suppliers and other current operating expenses; working capital for the preparation of the tourist season; except for credit obligations to commercial banks and other financial institutions and VAT

Manner of Implementation

  • Direct loans – borrowers submit their loan applications and related documentation to HBOR

Loan Amount

  • The minimum loan amount is EUR 100,000.00 in HRK equivalent amount
  • The maximum loan amount is EUR 1,250,000.00 in HRK equivalent amount, but generally no more than 25% of the total operating income/receipts of the borrower. The maximum loan amount depends on the creditworthiness of the borrower and the evaluation of the transaction risk.

Loan Currency

  • HRK indexed to EUR
  • As an exception, HRK (for loans approved under ESIF Limited Portfolio Guarantee of HAMAG-BICRO)

Interest Rate

  • 0.00% p.a., fixed for the loan repayment period up to 3 years
  • 1.50% p.a., fixed for the repayment period from the 4th to the 5th year
In certain cases, interest rate can be higher depending on the cost of the available sources of funding and the regulations on the award of state aid and/or de minimis aid.

The stated interest rates are reduced interest rates paid by the borrower, while the regular interest rates are set in the manner that the regular interest rate for the loan repayment period up to 3 years is 2%, and the regular interest rate for the loan repayment period from the 4th to the 5th year is 3.5%.


  • No fees charged
The borrower pays the insurance premium if the loan is secured by an insurance policy for exporters’ working capital loan portfolio.

Period and Manner of Loan Disbursement

  • Up to 12 months
  • One-off or successively, based on the documentation evidencing the earmarked utilisation
The funds can be paid to suppliers’ accounts based on the documentation   for utilisation of loan for earmarked purposes or to the borrower’s account, with the obligatory justification through documentation evidencing the utilisation of loan for earmarked purpose within 60 days from the payment of funds to the account.

Repayment Period

  • Up to 5 years, including a grace period of up to 1 year
The total period of loan disbursement and grace period may not be longer than 18 months.

Manner of Repayment

  • In equal three-monthly or six-monthly instalments


  • Loans will be secured by a guarantee in the form of insurance policies for exporters’ working capital loan portfolio or by a HAMAG-BICRO guarantee, in accordance with the rules of the Export Credit Insurance and HAMAG-BICRO, as well as by bills of exchange and debentures.
  • Exceptionally, and depending on the risk assessment of the transaction and the borrower and depending on the availability of the collateral in relation to each individual transaction and the borrower, HBOR is authorised to negotiate other collateral with the borrower in accordance with HBOR’s internal documents.

Related Documentation / Schedules

General Eligibility Criteria, item 3.2. Restrictions on finance of business entities whose ownership interests are held by public officials and their family members, item 4. Promotional interest rates and aid regulations List of Documentation Decision on General Terms and Conditions of HBOR Lending Activities



Strossmayerov trg 9, 10000 Zagreb

Urudžbeni ured nalazi se privremeno na adresi Zelinska 3