The State has decided to grant a personal guarantee to the debenture issue, amounting to € 355 million, intended to refinance Madeira's debt, and set a guarantee commission of 0.2% per year, according to a dispatch published in the Republic this Wednesday.
"The refinancing of the debt assumed by the autonomous region contributes to the reduction of the global debt of this region and thus to the stability of the regional economy and of the country as a whole and is thus of manifest interest to the national economy" , says the order published in Diário da República.
It should be noted that the amount that can reach 355 million euros to repay loans, previously contracted by public companies reclassified in the region and by the autonomous region itself, due this year, the statement added.
The Madeira Government had already signaled the need to contract this loan, which could reach 355 million euros in May, and considered that the most advantageous proposal was presented by the consortium that includes Banco BPI, SA, Banco Comercial Português, SA, by Banco Santander Totta, SA, and Caixa – Banco de Investimento, SA
In the technical file, referring to this loan, to be contracted by Madeira, it is mentioned that in terms of guarantee of subscription are guaranteed by Banco BPI, SA up to 88.7 million euros, Millennium investment banking up to 88.7 million euros, Banco Santander Totta, SA up to 88.8 million euros, and Caixa Geral de Depósitos, SA up to 88.8 million euros.