OREANDA-NEWS. OAO Belarusbank's €18.971m loan for Belarus' state-owned Newsprint Mill (Mogilev Region), which is currently running a production upgrade project, has been secured by the government, in accordance with a corresponding resolution of the Cabinet of Ministers.

The government guarantees the repayment of the principal debt on the loan taken out by the newsprint company.

The interest rate on the FX loan (to be repaid by July 31, 2024) shall not exceed 9% per annum. The one-off payment for government loan guarantees will make up 0.01% of the loan amount. The state-owned newsprint mill will have the government cover 50% of interest payments. The compensation will be provided in Belarusian rubles at the exchange rate set by the National Bank of Belarus.

Simultaneously, the government resolution recalls the security coverage for two Belarusbank credits worth €77.493 million.

OAO Spartak Newsprint Factory (Shklov, Mogilev Region) has been operating since 2006. The company produces newsprint, laminated beam, stick-frame homes.