Being part of AmCham is a great way to maintain business contacts with entrepreneurs and professionals.
Normunds Bergs, Chief Executive Officer, SAF Tehnika
CEO of SEB in Latvia Ieva Tetere: "We granted the first grace or principle payment deferral already on March 20 after the declaration of the state of emergency. During this time, we see that in more than 80% of cases we have provided support to small and medium-sized enterprises. Entrepreneurs have requested support for their long-term investment loans, as well as leasing payments. A moratorium on the financial sector, which provides grace for even longer period, if needed would help 73% of our business customers in the SME segment - this is the proportion of entrepreneurs, whose loans do not exceed the 5 million euros credit limit specified in the moratorium. SEB will not change other terms of the loan when granting the grace, if the entrepreneur meets the criteria specified in the moratorium and wants to defer the principal payment. "
"For those companies whose existing loan liabilities exceed 5 million euros, SEB has already provided individual solutions to overcome the financial problems. We will continue to do so after joining the moratorium. Even before the signing the industry moratorium, we have revised more than 500 agreements deferring the principal payment, some of these revised loan agreements are for companies with loan liabilities over 5 million euros. We have created solutions for them to ensure their short-term liquidity," continued by Ieva Tetere.
The conditions of the moratorium will apply to companies or groups of companies that have not been significantly late (more than 30 days) in meeting their obligations to creditors one year before the notified quarantine, or have not been declared insolvent, are not subject to restructuring, have not filed for bankruptcy and had positive equity in 2019. Companies affected by the Covid-19 and in a need of grace under the moratorium should apply to SEB by 12 June 2020.
This moratorium does not apply to loan agreements without a fixed repayment schedule, such as credit lines. During the grace period, the customer must continue to pay interest, insurance premiums and / or other fees provided for in the loan agreement, other than the principal amount. The moratorium also applies to loans that banks have already managed to review after the declaration of an emergency.
Entrepreneurs can apply for the benefit of credit obligations via internetbank or by contacting their client executive.
More about the moratorium for business customers can be found here.
AmCham works hard to accomplish its goals and is a voice in the business community that is heard.
Filips Klavins, Managing Partner at Ellex Klavins