Investment loans for agricultural development - IPARD
The project IPARD, IDF MNE JSC is implemented in cooperation with the Ministry of Agriculture, Forestry and Water Management of Montenegro for the financing of projects in the field of agriculture and food processing in Montenegro. The goal is to provide support for investments in food processing, the introduction and implementation of rural development measures, increasing competitiveness on the market of agricultural products, as well as the introduction and strengthening of European food production standards.
The interest rate is 4.50% on an annual basis with a proportional interest calculation system.
For entities that project implemented in municipalities northern region and in municipalities who is are below 100% of the average value of the development index in Montenegro, the interest rate is 4.00% on an annual basis with a proportional interest calculation system.
For loan users who operate for less than 12 months and for loan users who do not have adequate repayment potential, it is necessary to additionally provide a guarantee from a commercial bank; 100% cash deposit or guarantee of a creditworthy legal entity, for all claims greater than EUR 50,000.00.
Credit users, after meeting the conditions and carrying out the procedure in accordance with the IPARD rules, are entitled to a refund of funds in a defined amount, which reduces the exposure to the loan. Activities related to exercising the right to refund are carried out by the Ministry of Agriculture, Forestry and Water Management of Montenegro.
Depending on the price of the available sources of financing, the interest rate may be higher, with which the beneficiary of the Fund's funds should be properly informed.
The fee is 0.20% of the approved loan amount.
Time limit of use credit: in accordance with signed By contract between user and Ministry of Agriculture, Forestry and Water Management Montenegro .
The goal program and purpose
Loans are intended to support agricultural farms and businesses in accordance with the Invitation of the Ministry of Agriculture, Forestry and Water Management of Montenegro.
The amount of own capital must not be less than 25.00% of the value of total liabilities.
Users
Beneficiaries of loans under this credit line are agricultural producers, micro, small and medium-sized enterprises (which have agricultural activities as part of their activities) and which received a decision from the Ministry of Agriculture, Forestry and Water Management that they are beneficiaries of the IPARD project.
The end users of these credit arrangements can be entities that provide a certificate from the Tax Administration that they properly settle their tax obligations.
Security instruments
As instruments security loan of IDF MNE JSC will to accept promissory notes, mortgages on the real estate, banking guarantees, guarantees unit local self-government, guarantees of the Government of Montenegro , guarantees creditworthiness legal persons, pledges claims, administrative prohibitions on the receiving a minimum of one creditworthiness guarantor ( depending from the amount credit and income guarantor ), premiums, subsidies, grants and direct payments which provides Ministry of Agriculture, Forestry and Water Management of Montenegro and others usual instruments security in banking business in accordance with acts of IDF MNE JSC i decisions competent authorities of IDF MNE JSC.
All costs related to the acquisition of security instruments and the implementation of operations related to insurance, deletion and return of realized instruments are borne by the loan beneficiary.
The documentation base is defined by the IPARD project.