Subsidized financing

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Subsidized financing

Funding provided by a government or other entity that is available at a below-market interest rate.

Subsidized Financing

A loan or other form of financing that a government provides directly or guarantees. Subsidized financing is available at a lower interest rate because the government does not need to make a profit and can better afford the risk of loss. Subsidized financing often is offered to lower income people, for example, to encourage home ownership. See also: Co-signer.
References in periodicals archive ?
UNISAME has proposed subsidized finance for alternate energy devices and also 0% duty on imports of equipment and devices.
Study concludes that existing SME support (most of which is unbeknownst to the majority of SMEs) of subsidized finance facilities and other support programs remain inadequate to meet their sustainability objectives.
Motivated to keep assembly plants open and building cars, they attempt to balance the cost of subsidized finance against the contribution margin from the vehicle itself.