The Agricultural Cooperative Bank and the Social Aid Fund have signed a Memorandum of Understanding to support micro-projects. According to the loan manager at the Agricultural Cooperative Bank, Zeidan Saadat, this memorandum was based on the directive of the Economic Committee, including coordination with the Central Bank of Syria, to direct the Agricultural Bank to grant loans to micro-enterprises up to an initial amount of two billion pounds. According to the committees and controls approved by the Agricultural Bank at 10% interest, the Fund bears 4% of them, pointing out that the objective of the agreement is to grant soft loans to the poor who need a job.

According to the text of the financial and administrative agreement between the two parties, it is the responsibility of the project management to form the technical committee concerned in each branch of the Fund, and to choose the beneficiaries of this project according to criteria determined by the project management, and prepare lists of candidates to benefit from the project, and to provide the bank branch concerned with a list of those selected for The project management shall prepare lists of those who have completed the necessary training course accompanied by simplified economic feasibility studies for each project, and then send them to the relevant bank branch according to the dependence of the project implementation area “the purpose of the loan”. It is also the responsibility of the project management to abide by the terms of the loan contract and to pay the installments on their due dates specified in the repayment schedule, and to provide the beneficiary with a document from the competent technical committee formed in each branch of the Fund in the project area in which he undertakes to follow up the beneficiary to implement the loan, and to pay the installments on their due dates specified in the schedule. The Fund is committed to pay 4% of the interest annually to be taken in favor of the Agricultural Bank on loans granted to beneficiaries. The Fund shall not bear any interest after the maturity date in case the beneficiary is late in paying its obligation after the maturity date, but the beneficiary shall bear the full amount of the contractual and delayed interest amount. The interest calculated on 31/12 of each year during the first and second months of the beginning of each year.

According to the Memorandum of Understanding, a copy of which was obtained by the Baath Party, more than 39 targets were installed, including 21 new ones, most notably the kitchen of sweets, the manufacture of rose water, the motor winding workshop, the coffee mill and the sale of aluminum, the manufacture of circuits and electrical panels. Add any purpose without the need to refer to the Economic Committee, in coordination between the management of the Fund and the management of the bank, while it is the bank's responsibility to study the applications and economic feasibility attached to it from the project management, and to complete the loan documents in accordance with the bank's operating system and applied instructions.

The guarantee also stated that the value of the loan does not exceed one million liras, and requires two sponsors from the state employees, and in case the loan amount exceeds one million liras, it requires an in-kind guarantee covering the estimated value of 120% of the loan amount, in addition to a guarantor to pay from the state employees. Saadat said that the two parties agreed on the mechanism of disbursement of the loan, which is 50% as the first payment of the loan amount, and comes after the signing of debt bonds and the contract of the loan and the completion of mortgage procedures on the collateral in kind if there is, and after making sure the project is ready to receive equipment and equipment to be financed, and the second installment It is estimated at 50% after ensuring that the financed equipment is ready and ready.

The memorandum specified the duration of the loan, which can be between 3 to 4 years, to be recovered in half or quarterly installments, the first installment is due six months after the date of disbursement of the first loan.

Source: Al-Baath Newspaper