Government allocates loans for youngsters to start businesses, collateral is obligatory

Government allocates loans for youngsters to start businesses, collateral is obligatory

Skopje, June 11, 2014/Independent Balkan News Agency

By Naser Pajaziti

Government in Skopje has allocated 7 thousand to 23 thousand Euros in a form of a low interest loan for all those young people up to the age of 29 who want to start a new business.

The loan’s maturity will be 5 and a half years and its interest rate will be 1%.

Acting minister of Labor and Social policies, Dime Spasov says that this is a good opportunity for all young people to open new businesses and to create jobs. “This is a facility measure to encourage new businesses and employments and I believe that all of those who have a concrete project, may be successful”, declared minister Spasov.

He hopes that these measures will produce results in reducing unemployment and opening new jobs.

Minister of Labor and Social Policies says that this project has started to be implemented last year and so far, 2 thousand small and medium sized companies have benefited, employing 3.150 people.

Minister Spasov called on all unemployed people, especially youngsters up to the age of 29, to visit job centers and be informed about the opportunities that they’re offered through these measures.

The amount of loan is decided based on the number of jobs that are created by the company.

But, according to the requirements of the ministry, those who apply for the loan must have collateral which will serve as a guarantee for the repayment of the loan. Many young people say that due to their age, they cannot offer big collateral. Some say that it’s hard for them to ask their parents to put their homes as collateral. In other cases, parents are skeptic about taking this step. /ibna/