Obaveštajna komponenta Ministarstva spoljnih poslova i strateška kultura Srbije

The possibility of using international project financing for defense systems

“…Although the term project financing (project finance) is often used to describe all types of project financing, the term has evolved in recent years towards a more precise definition, so that it implies financing a particular economic unit where lenders are comfortable to rely initially on the cash flow and income of these economic units as a source of funds, which the loans will be repaid from, and on the assets of that economic unit as collateral for the loan. 2 In doing so, the authors of this definition emphasize that the keyword is initial, as lenders may initially be willing to observe the cash flow of the project as a source of loans repayment, but also have to consider that the loans will actually be repaid in the worst case scenario. This includes obligations and direct or indirect guarantees from the third parties.…”