Albania looking for a 300 million euro loan

TIRANA, Feb 23 – Albania is considering offers from seven foreign banks for a 300 million euro loan to fund its budget deficit, Finance Minister Ridvan Bode told an international news agency.
The offers have come from J.P. Morgan, Citigroup, Deutsche Bank, BNP Paribas, Raiffeisen, Credit Suisse and Alpha Bank.
Albania has cancelled plans for a 300 million Eurobond because the market was offering insufficient funds at high interest rates, Bode said.
The minister said they would ask for 300 million Euros for two or three years.
Albania might issue a Eurobond after one or two years when market conditions will hopefully become more favorable, Bode said to Reuters.
Last year Albania borrowed 230 million Euros from two Greek banks to fund its budget deficit and the building of a big road project. These are the two reasons being used again by Albania for the new loan it is trying to attain.
The Albanian local currency, lek has been significantly devalued in the last months even though it still has not directly been affected by the world global crisis.