This Guarantee Facility offers investment loans and working capital loans that are being part of the investment project.
Eligible expenses (indicatively) are:
- Costs for the purchase or lease of tangible and intangible assets
- General costs linked to the eligible investment such as architect, engineer and consultation fees, fees relating to advice on environmental and economic sustainability, including feasibility studies, according to art. 45.2(c) of the EAFRD Regulation
- Acquisition of new and second-hand equipment, machinery and appliances, provided that such acquisition is substantiated in the relevant business plan in terms of value, age and purpose of use;
- VAT paid by the Final Recipient on eligible costs;
- Live animals;
- Purchase of land up to 10% of the total eligible expenditure of the investment;
- New establishments of meat (other than poultry), slaughterhouses, provided that (i) they are located in island regions (as defined by relevant national legislation/regulation) and (ii) have a processing capacity of up to 400 tonnes of meat, or;
- Investments in energy production, as long as their capacity does not exceed the needs of the holding or the Final Recipient, as reflected in the energy needs study included in the investment plan
Investment loans can also be used for funding the investment plans that fall under either Sub-measure 4.1 “Support for investments in Agricultural Holdings” or Sub-measure 4.2 “Support for investments in processing/marketing and or development of Agricultural Products”.
Open to clients who have been affected by the pandemic the possibility of working capital Covid-19. The Final Recipient should demonstrate that a reduction of the expected/incurred revenues of the Final Recipient for 2020 and 2021, has taken place compared to 2019. For the Final Recipient Transactions which fall under Action 4.2.4, the Final Recipient undertaking activities supported under Action 4.2.4 shall be eligible provided that: (a) such activities account for more than 50% of its total revenues for the year 2019, or (b) such Final Recipient demonstrates that the purpose of the COVID-19 Working Capital Loan is to finance liquidity needs related to an activity eligible under Action 4.2.4.
Ineligible expenses are (indicatively):
- Support concerning the sale by farmers of non-agricultural products (**) to any customers on a retail basis;
- Support concerning the processing (neither as input, nor as output) of products other than Agricultural Products(**) ;
- Support concerning genetically modified products;
- Fines, financial penalties, legal and litigation costs, exemptions from charges;
- Projects carried out by aquaculturists or fishermen as well as projects concerning fishery or aquaculture products covered by the Fishery and Aquaculture Regulation;
- Establishment of new olive oil mills;
- Activities constituting pure financial transactions;
- Real estate development activities when undertaken as a financial investment activity;
- The restructuring or refinance of existing debt
- Financing of the research, development or technical applications relating to Genetically Modified Organisms
- Financing of the production of and trade in tobacco
(**) “Agricultural Products” means products listed in Annex I to the Treaty, with the exception of fishery and aquaculture products covered by Regulation (EU) No 1379/2013 of the European Parliament and of the Council of 11 December 2013 on the common organisation of the markets in fishery and aquaculture products, amending Council Regulations (EC) No 1184/2006 and (EC) No 1224/2009 and repealing Council Regulation (EC) No 104/2000 (OJ L 354, 28.12.2013, p. 1–21) (the “Fishery and Aquaculture Regulation.
Loan Amount: €10.000 - €5.000.000
Loan Duration: 2 -12 years, grace period up to 24 months
Loan Amount: starting from €10.000 (Working capital being part of the business plan of the investment project, for an amount not exceeding EUR 200,000 (two hundred thousand euros) or 30% of the total amount of the eligible costs for the investment which are financed, whichever is the higher).
This financial transaction benefits from the guarantee granted in the framework of the FoF. The objective of this fund of funds and its first loss guarantee is to support the access of the final recipients acting in the agricultural sector to the external financing necessary for the development of their businesses. Moreover, the purpose of this fund of funds is to contribute to the development of Greek territory, to the creation of new jobs in the agricultural sector and wealth on the rural territory of Greece.
Euribor(1Μ, 3Μ, etc., based on the repayment method) + spread + the Law 128/1975 levy currently at 0.12% or 0.6% depending on the farmer’s main business activity
Monthly, 3-monthly- 6 monthly or annual installments that pay interest and capital
One – off or partial installments
Reduced collaterals due to the 80% Guarantee offered by the European Investment Fund.
Availability period is until 31.12.2023.
This financial transaction benefits from the guarantee granted under the ESIF EAFRD Greece Fund of Funds, which is financed by funds provided by the Hellenic Republic, the European Union under the European Agricultural Fund for Rural Development (EAFRD), and the European Fund for Strategic Investments (EFSI). The objective of the ESIF EAFRD Greece Fund of Funds is to support final recipients acting in the agricultural sector in obtaining access to finance that is necessary for the development of their businesses, on preferential terms. Moreover, the purpose of the ESIF EAFRD Greece Fund of Funds is to contribute to the economic development of Greece, through the creation of new jobs in the agricultural sector and the development of the Greek rural areas.