First Loss Portfolio Guarantees COVID-19

Financial resources

  • BGN 167,61 million public resource (Recovery 1)
  • BGN 96,17 million additional public resource as a next phase for the implementation of the Recovery Programme (Recovery 2)

Total expected volume of loans to final recipients guaranteed under the Recovery Programme, exceeding BGN 700 million.

Goal of the Programme

The aim of the Programme is to facilitate the access of businesses to recovery loans for liquidity needs, new investments, transformation and growth in the aftermath of the COVID-19 pandemics.

Final recipients

Bulgarian Small and medium-sized enterprises

Type of financing

  • Access to business loans to eligible Bulgarian SMEs with a history of at least 3 years;
  • No requirement for tangible collateral; unsecured loans with the exception for personal guarantees provided by owners;
  • Loan approval and disbursement within a short timeframe;
  • Up to 12 months grace period for repayment of the principal;
  • Access to long term financing with maximum maturity of up 84 months;
  • Minimization of the administrative burden for the client;
  • Financing of up to BGN 3 million, but not exceeding 70 % of the turnover for 2019 or 2020 (whichever is higher), in compliance with the provisions applicable for State Aid.

Source of the public resources

  • Recovery 1: Operational Programme Innovation and Competitiveness 2014 — 2020, co-financed from the European Regional Development Fund
  • Recovery 2: Operational Programme Innovation and Competitiveness 2014 — 2020, as part of the European Union's response to the COVID-19 pandemic under the REACT-EU

Current stage of the Programme: active on the market.

Partnering Banks:

Tokuda Bank


KBC Bank



DSK Bank

UniCredit Bulbank