Loan for Proactive Protection of Agricultural Crops (ELGA)

Loan for Hail and Rain Protection under the Hellenic Agricultural Insurance Organisation (ELGA) Active Protection Programme. Loan in order to implement Active Protection Investment
DESCRIPTION
Loan to purchase materials and install active protection systems against hail and rain
IDEAL FOR
Farmers aged 18-65, approved by the Hellenic Agricultural Insurance Organisation (ELGA)
INTEREST RATE
Variable based on the Base Rate for Farmers (BRF)
DURATION
Up to 6 years
REPAYMENT
Interest is paid every 6 months, on 30/06 and 31/12. Capital is repaid through the assigned ELGA’s subsidy
FINANCING
AMOUNT
€2,000 - €170,000

Features

DESCRIPTION

Financing for farmers to implement their investment plans that are included in the annual Active Protection programme offered by the Hellenic Agricultural Insurance Organisation (ELGA). More specifically:

  • To purchase materials and install farming protection systems against hail
  • To purchase materials and install farming protection systems against hail and rain


IDEAL FOR

Farmers aged 18-65 (at loan maturity)



ESSENTIAL PREREQUISITES


To be eligible, it is MANDATORY for farmers to fulfil the following prerequisites:

  • Their inclusion in the annual Active Protection programme offered by the Hellenic Agricultural Insurance Organisation should be final
  • 15% of the eligible expenditure should be covered by own contribution


INTEREST RATE

Variable throughout the loan term: currently at 7.10% (BRF: 7.10%) plus the Law 128/1975 levy, currently at 0.6% or 0.12% depending on the farmer’s main business activity.

The interest rate is linked to the Base Rate for Farmers index, currently at 7.10%, which follows the market trends, is announced in the Press and is indicated in the Bank’s official pricelist.


DURATION


Up to 6 years, with an option of extending the repayment term


LOAN AMOUNT

From €2,000 to €170,000
Financing may amount up to 90% of the approved subsidy. The Hellenic Agricultural Insurance Organisation subsidy amounts to 60% of the eligible expenditure (before VAT) and is paid to the beneficiary with 3.6% stamp-duty withheld.



REPAYMENT METHOD


Interest is paid every 6 months, on 30/06 and 31/12. The remaining capital is repaid through the assigned ELGA subsidy, in equal instalments.



OTHER FEATURES


Loan approval fee

  • One-off fee: €100
  • Fees for bailiff serving of the pledge agreement (in line with the Bank’s pricelist)


Disbursement Method

  • Lump-sum or
  • In instalments, based on the progress of works and submission of invoices


Collateral

  • Legitimate assignment of the eligible Hellenic Agricultural Insurance Organisation subsidy & mandatory bailiff serving of the pledge agreement to the Agricultural Insurance Organisation
  • Pledge & blocking of the account to which the subsidy is credited & bailiff serving of the pledge agreement


Full or partial early repayment

  • You may repay all or part of your loan at any time and with no penalty