Long-term loan to finance La Palma’s 2026 investments

Summary

Cabildo Insular de La Palma is seeking a financial institution to provide a long-term variable-rate loan of up to €7,545,000 to finance investment projects and capital transfers in 2026. The funds may be drawn gradually over an 18-month period, and interest is charged only on the amount actually drawn. The loan runs for 11.5 years: the first 1.5 years are a principal repayment grace period, followed by 10 years of repayment through 40 equal quarterly principal instalments. Bidders must be financial institutions registered in the Bank of Spain’s official register of credit institutions. The offer must state a variable margin over three-month Euribor and comply with the applicable financial prudence limits. Price is the sole award criterion: the most favourable compliant margin for the contracting authority is preferred. Bids must be submitted electronically in Spanish or with an official Spanish translation within 15 calendar days starting the day after publication of the contract notice.