The New State Guarantee Limit Has Been Approved for 2011 01-04-2011

By the order No.339 of 23 March 2011 the Government of the Republic of Lithuania has approved state guarantee limit for the Rural Credit Guarantee Fund. The state guarantee limit for 2011 is 560 million LTL.

By the 31 December 2010, guarantees issued by the Rural Credit Guarantee Fund to credit institutions for credits granted to farmers, rural entrepreneurs, processing companies, and Lithuanian Agriculture and Food Product Market Regulation Agency has amounted to 403 million LTL. As compared to 2009, last year guarantee liabilities decreased by almost 6 percent.

Rural Credit Guarantee Fund provides guarantees for all commercial banks operating in Lithuania as well as credit unions. The largest share of guarantee liabilities for credits granted to farmers, rural entrepreneurs, processing companies, and Lithuanian Agriculture and Food Product Market Regulation Agency accounts for guarantees issued to DnB NORD Bank (31,7 percent), Nordea Bank Finland Plc (16,3 percent) and SEB Bank (13,4 percent) as of 31 December 2010.