Regulation On Microcredit Companies And Microcredit Operators

The Regulation on Microcredit Companies and Microcredit Operators was approved by Presidential Decree 89/23 of 31 March. It repeals Presidential Decree 28/11 of 2 February and entered into force on 1 April.

The Regulation lays down the rules for the operation of microcredit institutions and applies to institutions engaged in microcredit activities, namely:

• microcredit companies, defined as non-bank financial institutions engaged in microcredit activities and authorised to grant low and medium value loans to small and medium-sized enterprises; and
• micro-credit operators, defined as non-financial commercial enterprises whose purpose includes the granting of micro-credit on a non-exclusive basis, such as NGOs, associations and foundations.