Loans for higher education and vocational training infrastructure

How much?

Loan intensity – up to 100% of the eligible costs.

Time frame

The loan has a repayment term of up to 20 years.

Requirements for applicants

Applicants can apply for a loan under the following conditions:

• At least 51% of the total area of the building is owned by the applicant and/or by the legal person who authorised the applicant (in the case of the applicant being the authorised manager) and/or the state or a municipality. In the case of more than one building owner (manager), a written agreement of all building premises owners (managers) must be submitted regarding the implementation of the project and ensuring financing to compensate for the investment of the project in proportion to the managed area of the building. A written agreement between all the owners/managers of the premises of the building on the implementation of the project is not required if the project activities will be implemented only in the premises owned/managed by the applicant and/or the legal entity that authorised the applicant (in case the applicant is the authorised manager).
•  The applicant or a legal entity authorised by the applicant owns the building or part of it on the basis of a loan for use agreement; the loan for use agreement must be concluded for at least 5 years longer than the planned completion of the project and must be registered in the Register of Real Estate of the Republic of Lithuania, and the project must be approved by the owner of the building or the trustee.
• The applicant is not bankrupt or being wound up, has not entered into an settlement agreement with its creditors to continue as a going concern where the applicant assumes certain obligations and the creditors agree to defer, reduce or waive their claims, have not suspended or restricted their activities or are not in the same or similar situation under the laws of the country in which they are registered. The applicant is not the subject of restructuring, insolvency or out-of-court insolvency proceedings, compulsory winding-up proceedings or arrangement proceedings with creditors, or of analogous proceedings under the law of the country in which it is registered.
• The applicant has fulfilled obligations related to the payment of taxes, including social security contributions (obligations shall be deemed to have been fulfilled if the amount of arrears does not exceed EUR 50).
• The applicant, the applicant’s manager, other member of the management or supervisory body or other person(s) authorised to draw up and sign accounting documents has no convictions and during the last five (5) years no judgement of conviction passed and effective, and this person has no effective criminal conviction record for the criminal offences referred to in the Law on Public Procurement of the Republic of Lithuania.

Requirements for projects

• Projects must be implemented on the territory of the Republic of Lithuania.
• The loan may be used to finance external and internal renovation of scientific infrastructure (physical and/or energy improvements), upgrading of utility networks and systems, construction of new buildings (including demolition of buildings in a state of disrepair). It may include site improvement of renovated or newly constructed buildings, other contract works directly related to the renovation or extension of the building, preparation of related technical documentation, technical supervision and supervision of the project execution. Where the design provides for demolition and new construction of a construction works, the applicant must submit an expert examination report with the application on the construction works, justifying that the construction works are in an emergency condition.
• Projects submitted by public higher education institutions or their authorised managers and public vocational training institutions or their authorised managers must be approved by the Ministry of Education, Science and Sport of the Republic of Lithuania.
• If the applicant or a legal person authorised by the applicant manages the building on the basis of a loan for use, the project must be approved by the owner or trustee of the building.
• The building will be used for its intended purpose throughout the loan repayment period and funds of the required amount will be allocated for heating and/or cooling of the building, operation, maintenance of the building and payment of the project investments.
• The project must be implemented (the works financed by the loan must be completed) within 24 months from the date of signature of the loan agreement (this period may be extended for justified reasons).
• The project must comply with the European Union’s competition policy and state aid rules (see the description of the facility for details).