In late 2005 funds under this credit line became property of the Republic of Serbia and shall be disbursed over the next 10 years under the same terms and conditions (EUR 200,000 loans with five year maturity and one year grace period and annual interest rate down to 8.08%) and for the same purpose – development of small and medium size enterprises.
But while financial intermediation, through its impetus to diversification, can lower the risks of holding claims on real assets, it cannot alter the more deep-seated uncertainties inherent in the human evaluation process. There is little in our historical annals that suggests that human nature has changed much over the generations.