Fund of Guarantee for Albanian farms is created

Fund of Guarantee for Albanian farms is created

Tirana, 18 March 2016/ Independent Balkan News Agency

The Albanian and the European Bank for Reconstruction and Development has created a new instrument of financing called “The Fund of Guarantee”. This fund has a value of 300 million euros and will be used during the next three years.

The Fund will cover 70% of the value of the interest rate in order to unblock crediting in the agricultural sector.

Everyone can apply for this fund, but farmers who make joint applications have a priority.

For 2016, farmers will be able to receive subsidies only if they are equipped with a tax code and registered as a business.

The agricultural sector occupies an important part of the economy of the country by employing nearly half of the total number of employed people, but so far, receiving a loan has not been easy for farmers.

This is the first time that the Albanian state intervenes by paying the interest rate of loans issued by private banks. /ibna/