Municipal Loan in CZK or a Foreign Currency

• Related Products

Characteristics of the Municipal loan:

• maturity: a short-term or medium-term or long-term loan
• exclusively for self-governing bodies
• interest rate:
  • fixed
  • variable
• for direct payments to the account of a supplier or seller on the basis of submitted documents (invoices, purchase contract etc.)
• provided in several currencies (CZK, USD, EUR and CHF)
• the alternative in foreign currency is above all intended for:
  • clients who offer security against any possible exchange rate differences (e.g.nbsp;collection in foreign currency to an account held in Komerční banka)
• part of the loan is intended for bridging of a time discrepancy between budget income and expenditure:
  • transfer usually to the client's current account
  • the level is based on the anticipated size and duration of this discrepancy
• part of the loan is intended for financing of investments:
  • this is based on the actually incurred costs of the city, municipality or region
• drawing and repayment of the loan:
  • one-off or gradually
  • on the contractually agreed dates

Advantages of the Municipal loan:

• possibility of implementing financially demanding investments for development of the city, municipality or region
• resolution of any time discrepancy between budget income and expenditure if necessary
• possibility of gaining a loan in several currencies via a single contract

The Municipal loan allows you to:

• finance acquisition of tangible fixed assets
• finance acquisition of intangible fixed assets, including projects
• finance renewal of existing fixed assets
• bridge a time discrepancy between budget income and expenditure

How to get a Municipal loan?

• contact your relationship manager
• call the free KB Info line on 800 521 521

Related information:

• I need the forms for product opening (ZIP file)

Related Products

• Municipality Package
• KB EU Point
• Ponte II Programme (public administration)