Moldovan commercial bank provides young entrepreneurs with loans for development in preferential conditions
16:59 | 10.02.2017 Category: Economic
Chisinau, 10 February /MOLDPRES/ – Young businessmen can obtain loans up to 700 thousand lei on preferential conditions from commercial bank Moldova Agroindbank. The bank offers new advantageous options for financing investment in agricultural and non – agricultural sectors by means of the Programme of the Inclusive Rural Economic and Climate Resilience (International Fund for Agricultural Development (IFAD)–VI/Young Entrepreneurs).
Almost 40 per cent of loan amount, or maximum 280 thousand lei, are provided as grant. The double advantage for loan beneficiaries who had previously participated in IFAD–V, PNAET, PARE 1+1, PASET 1 and PASET 2 programs, is that these customers are eligible for grant funding repeatedly if they seek ways to expand business from production to processing\sorting\packing\marketing.
A rather significant feature is that in the case of RISP and IFAD resources (refinance), interest on financing in the form of grant is not applied within Programmes IFAD V and IFAD VI, bank will not apply it if it becomes refundable either.
A press release of MAIB states that there will be funded investments related to the development of rural activities and those related to agriculture, such as producing, harvesting, storing fruits, vegetables in protected and open field, producing animal products, including purchase of breeding animals, equipment and machinery for farm development, sorting, processing and packaging of agricultural products, construction of storage areas and cold storage of agricultural products, non – agricultural activities.
Other benefits are the beneficiaries of Programmes dedicated to IFAD V and IFAD VI, who conducted promotional expenses, which will be refunded 50 per cent of eligible expenditure, but not exceeding 50 thousand lei. Those grants will be available only in 2017, with subsequent resumption in IFAD VI.
Moldova Agroindbank is a PNAET financial institution participating in the program with the highest number of funded projects – 877 beneficiaries, or 52.3 per cent of the total number of financed sub – projects.
The Programme of the Inclusive Rural Economic and Climate Resilience (IFAD–VI), launched in 2014 will be implemented in Moldova until 2020. The total budget of the program is $26.08 million. PNAET is a program for young people, aged between 18 – 30 years of age, who wish to develop their entrepreneurial skills to launch or expand their own business in rural areas or in agriculture production, thus creating new jobs.
(Reporter V. Bercu, editor M. Jantovan)
