Long-Term Bank Loan for Budget Deficit Financing

The contract involves a long-term bank loan of 10,000,000 PLN (ten million Polish zlotys) to finance the planned budget deficit for the year 2025 and to redeem securities. The loan will be disbursed in tranches to the municipality's main account, with the amount and timing of each disbursement agreed upon with the contractor. The total loan must be fully disbursed by December 31, 2025. The repayment schedule is detailed in the procurement documentation. The loan period may be adjusted based on the calculated individual debt repayment ratio, with written notification to the contractor for any changes. The loan is commission-free, and all costs must be included in the bank's margin. The borrower may choose not to draw the full loan amount without incurring costs for the undrawn portion. The interest rate is variable, based on the WIBOR 1M rate plus a margin. Interest payments are due at the end of each quarter, with the first payment due at the end of the first quarter following the first disbursement. Early repayment is allowed without additional fees. The loan is secured by a blank promissory note signed by the Mayor and accompanied by a promissory declaration. The contractor is not required to open a current account with the bank. Further details are provided in the procurement documentation.