Spectator on facebook

Spectator on facebook

FOCUS SHORT

SMEs find it hard to obtain loans

THE ECONOMIC crisis has made small and medium-sized companies’ (SMEs) access to bank loans more difficult. The share of rejected loan applications submitted by SMEs among all corporate loans increased in 19 out of 20 EU member countries for which data were available between 2007 and 2010. In Slovakia the share of turned-down applications increased from 3.7 percent in 2007 to 9.2 percent in 2010, the SITA newswire reported last October, citing Eurostat data.

THE ECONOMIC crisis has made small and medium-sized companies’ (SMEs) access to bank loans more difficult. The share of rejected loan applications submitted by SMEs among all corporate loans increased in 19 out of 20 EU member countries for which data were available between 2007 and 2010. In Slovakia the share of turned-down applications increased from 3.7 percent in 2007 to 9.2 percent in 2010, the SITA newswire reported last October, citing Eurostat data.

The share of approved applications for loans by SMEs decreased from 89.3 percent in 2007 to 76.1 percent. The share of partially approved loans, where a company received a loan but under less favourable conditions than it had originally sought, increased from 7 percent to 14.7 percent.

Bulgaria registered the steepest increase in the share of rejected corporate loan applications, up from 3 percent to 36 percent between 2007 and 2010. It was followed by Ireland (up from 1 percent to 27 percent) and Latvia (up from 4 percent to 26 percent). Bulgaria also topped the ranking of rejected applications in 2010 with 36 percent; Ireland came second with 27 percent and Latvia third with 26 percent. The Netherlands was fourth with 23 percent. Finland reported the highest share of approved loan applications, 96 percent, followed by Malta (91 percent) and Poland (85 percent).

Topic: Finances and Advisory


Top stories

Sagan rewrites history Video

Cyclist Peter Sagan becomes the first man to win three consecutive world championships.

When the state can’t keep a secret

A selective leak has tarnished President Kiska’s reputation. But he must continue to speak out about corruption.

President Andrej Kiska

Námestie Slobody gets facelift Photo

The architectural tender will gather ideas for the redesign of the biggest square in Bratislava

Námestie Slobody will be redesigned into a kind of living room in the city.

Fundamental values explored at Divadelná Nitra 2017

This time round, the Slovak, European and US ensembles at the theatre festival focus on #fundamentals, i.e. basic values and the essence of all things.

Nature Theatre of Oklahoma: Pursuit of Happiness