P-Z1-D00-005

Project Details
ID: P-Z1-D00-005 Name: LINK ROAD PROJECT Status: Completed Country: Multinational
Sector: Transport Approval date: 27-mar-1975 Task Manager: -, OINF2
Total cost: 1900000
Currency: UAC
Source(s) of financing
ADF: 1300000
Cofinanced: 600000
Implementing Agency: --

Objectives

A major risk in the implementation of the loan is the possible reluctance of the Banking system to engage in term financing for SMEs, perceived generally to be more risky than traditional commercial financing. This could lead to slow disbursements. This risk has, however, been minimized by allowing the Participating Banks a reasonable spread in on-lending to beneficiaries.

Description

A major risk in the implementation of the loan is the possible reluctance of the Banking system to engage in term financing for SMEs, perceived generally to be more risky than traditional commercial financing. This could lead to slow disbursements. This risk has, however, been minimized by allowing the Participating Banks a reasonable spread in on-lending to beneficiaries.

Benefits

A major risk in the implementation of the loan is the possible reluctance of the Banking system to engage in term financing for SMEs, perceived generally to be more risky than traditional commercial financing. This could lead to slow disbursements. This risk has, however, been minimized by allowing the Participating Banks a reasonable spread in on-lending to beneficiaries.

Rational

A major risk in the implementation of the loan is the possible reluctance of the Banking system to engage in term financing for SMEs, perceived generally to be more risky than traditional commercial financing. This could lead to slow disbursements. This risk has, however, been minimized by allowing the Participating Banks a reasonable spread in on-lending to beneficiaries.