Ten applications for Emergency Agricultural Loan approved in Moldova

Chisinau, 12 March /MOLDPRES/ - Thirteen applications on guaranteeing for the Emergency Agricultural Loan – a financial instrument meant for cereals producers – were received on 1-11 March. The programme which envisages the providing of loans worth up to 500,000 lei (25,000 euros) to each applicant has registered an overall demand of about 4.95 million lei so far. Ten out of all applications submitted have been already approved, the Agriculture and Food Industry Ministry (MAIA) has reported.    

According to the ministry, the Emergency Agricultural Loan is the only product of this kind which benefits from a 90-per cent guarantee on behalf of the state. At the same time, it is the only product guaranteed by the state, which is accessible to the clients of commercial banks from the substandard category.  

The commercial banks participating in the programme are in charge of the detailed analysis of each application, according to the internal policy and procedures, with the admission of the criteria specific to the substandard category: worsened financial situation; delay in the recovery of the payments from 91 to 180 days; the flows of financial means which represent a personal guarantee (suretyship) estimated to be sufficient for the regular carrying out of the obligations/execution of the guarantee; or other similar factors which represent reasons for the classification of the loan as substandard, according to MAIA.  

The product will be available and operational till 31 May 2024.