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Micro Agri-Fund

Loans with favourable terms for small and medium enterprises in the agricultural sector

The Small Loans Fund for Agricultural Entrepreneurship, under the title “Micro Agri-Fund”, is funded by the Ministry of Rural Development and Food through the RDP 2014-2020 with resources exclusively from the Union Recovery Instrument (EURI) and the implementing body is the Hellenic Development Bank S.A. (H.D.B.). The purpose of the “Micro Agri-Fund” is to provide new loans (investment purpose with the possibility of obtaining working capital for the purposes of the investment) on favorable terms to Small and Medium-sized Enterprises, active in the agricultural and processing sector of agricultural products.

Beneficiaries

All micro, small and medium-sized enterprises (as defined in Commission Regulation 651/2014 of 17 June 2014 declaring certain categories of aid compatible with the internal market pursuant to Articles 107 and 108 of the Treaty, as applicable) active in the agricultural and processing sector of agricultural products of any legal form and stage of operation.

Main Product Features-Characteristics

Loan amountDurationFavourable terms

  • From €3,000 to €25,000

  • From 24 to 60 months, with the possibility of gradual disbursements of up to 12 months

  • Interest subsidy up to 100% for the first two (2) years of the loan

  • Reduced interest rate due to interest-free financing of 50% contributed by the Fund

  • 24 months possibility of grace period

  • Possibility of partial or full repayment without any charge

  • No collateral is needed

Eligible enterprises

Eligible enterprises must have the following characteristics:

  • Be a small and medium-sized enterprise

  • Be based and operate legally within the Greek territory

  • Be established up by the time of submission of the application for funding to the financial institution

  • Be tax and insurance aware at the time of loan disbursement

  • There should be no grounds for exclusion of article 40 of law 4488/2017 (Government Gazette A 138/139), as applicable

  • No financial correction decision is pending against them for amounts unduly paid from the EAFRD

  • Not have been subject to collective insolvency proceedings or meet the conditions under the domestic law to which they are subject to be subject to collective insolvency proceedings at the request of their creditors

  • Not be in a Non-Affiliated Jurisdiction

  • Not have received a loan from previous or current HDB financing tools, for which they have exhibited unfavorable transactional behavior in the repayment of their debts (loan termination or overdue debts for a period of > 90 days) or have shown unfavorable transactional behavior (loan termination) but have fully repaid their debts before the submission of the funding application or in the case of a guarantee program, the amount of the guarantee debt has not been paid by the HDB or provided that this debt has been established to the competent Tax Office, it has entered into a regulatory regime, which continues to be in force on the date of submission of the application for funding

  • The Final Recipient can apply for a co-financed loan to more than one financial institution, as long as the amount does not cumulatively exceed the maximum limit of 25,000 Euros

Eligible costs

Eligible costs are considered the investment costs for which their necessity is substantiated in the submitted business plan.

The documentation of expenses takes place against the documents, for expenses in accordance with the submitted business plan.

Eligible costs/investments include, but are not limited to:

  • purchase of used equipment, machinery and appliances, provided that this purchase is implemented within the framework of the respective business plan in terms of value, age and purpose of use

  • VAT, which is paid by the final recipient on the eligible costs

  • purchase of land up to 10% of the total eligible cost of the investment

  • transfer of ownership rights in relation to undertakings/functions, provided that such transfer takes place between independent investors

  • livestock, annual plants and their planting

  • new slaughterhouses and meat production establishments (excluding poultry) under certain conditions

Consulting service subsidy

The company may be subsidized with an amount of € 300 in order to provide technical and consulting support (mentoring) by consulting companies cooperating with the financial institution.

Submission procedure

  1. Submit your request on the website of the Hellenic Development Bank: https://kyc.hdb.gr (know your customer by HDB).Taxisnet codes of the enterprise will be required to enter the system. For each completed application, a unique code is issued. The submission of an application on the KYC platform is a prerequisite for submitting an application to the State Aid Information System (PSKE-ΠΣΚΕ).
  2. To the PSKE through  www.ependyseis.gr, website , which also states the unique application number on the KYC platform stating our financial institution. 

More information

For more information please contact: