Investment credits: Indicative Financial Terms
| Terms /conditions/Recipient | EFSD Member-State | Project company |
|
Interest rate (% annual basis)
|
LIBOR | LIBOR |
|
Spread (over basic interest rate) |
Variable spread calculated for each 6-month interest accrual period as a difference between the cost of funding of Russia and Kazakhstan on the international markets and LIBOR | |
|
Risk premium |
To be determined by the EFSD Council based on project risks and other risks | |
|
Front-end fee (% of the amount of commitment)
|
up to 1% | up to 1% |
|
Commit-ment fee (%, annually)
|
0,5% |
0,5% |
|
Maturity (years)
|
up to 15 | up to 10 |
|
Grace period (years)
|
up to 5 |
up to 5 |
|
Requirements for co-financing by the recipient (% of project value)
|
none | no less than 20% |
| Requirements for co-financing by the end-recipient (% of project value) | no less than 20% | - |
| Additional requirements | Financial terms of investment loans granted by EFSD to low-income countries comply with the requirements of IMF programs. | |
While setting loans financial terms, the EFSD Council considers IMF programmes recommendations on the long-term debt sustainability of a country.