​ EIB PROPOSES LEASING FINANCING PROGRAM TO MOLDOVAN FRUIT GROWERS

The European Investment Bank (EIB) proposes a leasing program of financing for small and medium enterprises, who want to buy gardening equipment and machinery. The financing is provided within the project Moldova’s Orchards, whose partner is Mobiasbanca – Groupe Societe Generale.

According to the Ministry of Agriculture, Regional Development and Environment, the leasing financing is more profitable than a simple credit, as it does not oblige farmers to provide pledge. The project provides a profitable interest rate and the period of financing, as well as the opportunity of choosing flexible schedule of payments.

The minimal sum of financing accounts for 5 thousand euros, the interest rate – 5.5-6.5%, while the schedule of payments may be timed with seasonal revenues of the beneficiary.

A zero VAT rate is applied for program participants at goods supplying, works fulfilling and services delivery. Also, horticulturists will be exempted from paying customs duties from imported goods and services, as well as from payment for customs procedures.

The Moldova’s Orchards project was launched by the Government and the EIB for resolving structural vulnerability in fruit growing sector of the republic, while its goal is to contribute to rehabilitation of the horticultural sector and to production, processing, packaging and exporting fruit.

The total budget of the project accounts for 120 million euros. The financing will be directed to promotion of Moldovan fruit on external markets and their diversification at the expense of competitiveness raising.