Republika Srpska (Bosnian Republic of Serbia) is to borrow EUR 110 million from Hungary’s Exim Bank, Bosnian media reported on Friday, Reuters wrotes. The loan will have a ten-year term and a fixed interest rate of 5 percent, Capital news agency reported.
The loan is aimed at financing the budget deficit and refinancing part of the republic’s debt, according to the report. The public debt of Republika Srpska stood at 6.2 billion marks (about EUR 3.2 billion) at the end of September, according to the latest data from the country’s Ministry of Finance. Republika Srpska is one of the two autonomous entities that make up Bosnia and Herzegovina, Portfolio writes.