The European Commission and the European Investment Bank (EIB) have presented a model financial instrument aimed at easing access to finance for agricultural producers, including young farmers. This is the first new product developed in the framework of the Memorandum of Understanding on co-operation in agriculture and rural development within the EU, signed in July 2014.
The model instrument aims to help ease access to finance for farmers and other rural businesses. Member States and regions can adapt and use the model to set up financial instruments funded by their rural development programmes (RDPs) under the European Agricultural Fund for Rural Development (EAFRD) – to secure loans for investments in farm performance, processing and marketing, business start-ups and many other areas.
The instrument is accompanied by a work programme setting out the finer detail of the Commission's and the EIB's co-operation under the MoU. This is complemented by the provision of advice by the EIB to help Member States and regions better understand and use financial instruments.
Monday March 23, 2015/ EC/ European Union.