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Within the agreements to obtain the money, a series of conditions are agreed upon, such as the amount, the remuneration or the maturity date of the securities issued.
In the financial world there are several types of loans, such as: promissory notes; which are issued in the short term not exceeding one year, bonds; which are considered short to medium term issued for three to five years and finally there are the obligations that will be amortized over the long term.
In El Salvador, one of the forms of financing that the State has is through this type of loans, which are used to have income that can then be invested in public works or services such as education or health and the country acquires the obligation to pay this money over the years.
Translated by: A.M