Published in the Government Gazette (Government Gazette B ́ 1075) the Joint Ministerial Decision, co-signed by the Deputy Minister of Rural Development and Food, Georgios Stylios and the Deputy Minister of Development and Investment, Ioannis Tsakiris, for the establishment of a Portfolio Fund under the name of Small Loan Fund for Rural Entrepreneurship. The Fund will operate as an independent financial unit within the Hellenic Development Bank.

For the establishment of the Fund(Small Loan Fund for Rural Entrepreneurship), a financial contribution from the Rural Development Programme 2014/20 to the Hellenic Development Bank. The resources will amount to twenty-one million five hundred thousand euros (EUR 21,500,000).

This will be followed by the conclusion of the financing agreement between the Ministry and the Hellenic Development Bank. As noted in the announcement, the Hellenic Development Bank will assume the role of manager of the Fund.

With the signing of the agreement, the Hellenic Development Bank will begin the selection procedures of the Banks that will participate in the financing tool. Banks with rural development programme 2014/20 resources will provide risk-sharing loans ranging from €3,000 to €25,000.The loans will be directed to farms and processing enterprises. The Rural Development Programme will finance without interest 50% of the capital of each new loan granted. Therefore the final interest rate of the loan will be reduced by 50%. In addition, an interest rate subsidy is foreseen. Also the possibility of a grant per loan to provide consultancy and technical support to the final beneficiaries.

As stated in the announcement, the activation of this important financial instrument will contribute substantially to the development of our country's agri-food sector, by facilitating access to finance for farmers and ., very small and small and medium-sized enterprises of processing of agricultural products in a difficult economic climate.