Law on the establishment of guarantee scheme as a measure of support to the economy for mitigating the consequences of the SARS-CoV-2 caused by the COVID-19 pandemic.

This Serbian Law on the establishment of guarantee scheme as a measure of support to the economy for mitigating the consequences of the SARS-CoV-2 COVID-19 pandemic, here regulates the conditions, procedure, amount and manner of providing funds for issuing (state) guarantees of the Republic of Serbia in connection with offered guarantee scheme, including the criteria, conditions and manner of approving of related loans by banks, reporting, and other issues relevant to the above mentioned guarantee scheme. This scheme is created as a measure of support to the economy, in order to mitigate the economic consequences caused by the pandemic of the disease COVID-19 caused by the SARS-CoV-2 virus, with the aim of increasing the liquidity of economic entities on the territory of the Republic of Serbia. Issues of persons who cannot be beneficiaries of a loan secured by a guarantee from the guarantee scheme are laid down in article 5. Persons who are authorized/designated as beneficiaries of a loan secured by a guarantee from the guarantee scheme are defined in article 6 of this text (this list includes agricultural holdings, registered with the Business Registers Agency and classified as an entrepreneur, or a micro, small and medium-sized company). The national Ministry of Finance shall supervise the application and enforcement of these provisions. Conditions for securing a loan in accordance with the guarantee scheme are listed in article 8.
The Law is divided into nine thematic Chapters, with a total of 17 articles. Titles of Chapters are as follows: I. Introductory provisions; II. Conditions, procedure, amount and provision of funds for issuing the guarantee of the Republic of Serbia; III. Purpose and conditions of the loan which can be guaranteed in accordance with the guarantee scheme; IV. Allocation of guarantee scheme funded by banks, types and amounts of loans which may be secured by a guarantee in accordance with the guarantee scheme; V. Procedure for inclusion and exclusion in the secured portfolio; VI. Contract on issue of individual guarantee; VII. Realization control; VIII. Supervision; IX. Transitional and final provisions.