ProCredit Bank and AFIR have signed a collaboration protocol that offers low-interest loans to support investments in rural areas
ProCredit Bank and the Agency for the Financing of Rural Investments (AFIR) have signed a collaboration protocol, which aims to finance investments in rural areas, by facilitating and accelerating the process of absorbing European funds under the National Rural Development Program (PNDR), in transition period 2021-2022.
"For over 19 years, ProCredit Bank has been supporting farmers and financing investments in agriculture in Romania. Our financial analysis is adapted to this sector of activity and takes into account the particularities and financing needs of farmers. Moreover, our client advisors assess the working capital requirements as well as the investment plans for an entire agricultural season, so that we can respond promptly to financing requests that may arise throughout the year. ” Said Stefan Manole, General Manager of ProCredit Bank Romania.
"We want to offer grant applicants an effective support point to have a good and efficient start of investments. Thus, through these collaboration agreements that AFIR negotiated with several financial institutions, we managed to create a framework that would allow obtaining advantageous credit packages to ensure the contribution of private financing, but also the necessary capital for the operation of the investment. . ” said Mihai Moraru, general manager of AFIR.
For projects selected during the Transition Period 2021-2022, ProCredit Bank may provide co-financing facilities through the Portfolio Portfolio Risk Sharing Loan (PRSL) program under the agreement with the European Investment Fund - (EIF). Through this program, the borrowed companies will benefit from credit facilities whose interest rate will be 50% lower than the standard interest rates applied by the bank. Clients can benefit from loans to finance investments, including VAT, but also for working capital. In addition, ProCredit Bank allows the payment of loans in seasonal installments, and the lending period is flexible, up to 7 years for equipment and up to 10 years for other investments.
Farmers and investors are invited to complete the form on the ProCredit Bank website to be contacted by a specialist customer advisor.
Agency for the Financing of Rural Investments (AFIR)
The Agency for the Financing of Rural Investments (AFIR) has as its attribution the technical and financial implementation of the National Rural Development Program 2014 - 2020 (PNDR 2020).
To date, 67,828 farmers, processors, entrepreneurs and public authorities have concluded financing contracts with the Agency for Financing Rural Investments to receive European non-reimbursable funds through the National Rural Development Program 2014-2020.
The value of the payments made by AFIR, so far, to the beneficiaries of the Program amounts to 7.65 billion euros, which represents a degree of effective absorption of the allocated funds of over 81.24%.
For the transition period, 2021 - 2022, AFIR also has funds for agriculture and rural development totaling 3.28 billion euros.
ProCredit Bank Romania:
ProCredit Bank Romania is part of the development-oriented ProCredit group, which consists of commercial banks for small and medium enterprises (SMEs). ProCredit Holding AG, based in Frankfurt am Main, Germany, is the parent company of the ProCredit group. In addition to its operational focus on South East and Eastern Europe, the ProCredit group is also active in South America and Germany. The company's shares are traded on the Prime Standard segment of the Frankfurt Stock Exchange. The main shareholders of ProCredit Holding AG includes strategic investors Zeitinger Invest and ProCredit Staff Invest (the investment vehicle for ProCredit staff), the Dutch company DOEN Participaties BV, the KfW Development Bank and IFC (part of the World Bank Group). As the parent company of the group, in accordance with German banking law, ProCredit Holding. The KGaA is supervised on a consolidated basis by the German Federal Financial Supervisory Authority (Bundesanstalt für Finanzdienstleistungsaufsicht, BaFin) and by the German Bundesbank.
Contact:
Ana Becheru, Specialist Marketing & PR
Tel.: +40 790 679 862
E-mail: Ana.Becheru@procredit-group.com