Bosnia and Herzegovina, ERS launched a tender for the procurement of a bank loan in the amount of 2 million euros

, SEE Energy News

Bosnian state-owned power utility ERS launched a tender for the procurement of a bank loan in the amount of 2 million euros with fixed interest rate of 4.5 %. The utility is prepared to pay up to 105,000 euros in servicing fees.

The tender is open for commercial banks until 18 November. ERS did not provide details regarding the purpose of this loan.

In September, ERS said that it will take a 5.1 million euros commercial loan from local Nova Banka. Nova Banka was the sole bidder at the render for the loan, with total loan costs amounting to some 230,000 euros. The proceeds of the loan will be used for the purchase of fuel for its subsidiaries.

In October, ERS subsidiary “Hidroelektrane na Drini”, which operates hydropower plant Visegrad, said that it is seeking a loan worth some 5 million euros in order to maintain liquidity in the coming period. The subsidiary is looking for a loan with the maturity of one year, with fixed interest rate of 4.9 % and is prepared to pay up to 260,000 euros for the loan’s servicing fees.