The Agricultural Entrepreneurship Micro-Loan Fund II is expected to create a loan portfolio of €95 million, providing financing from €10,000 to €50,000 for investments and/or working capital. Half of the loan will be interest-free, while the interest on the remaining 50% will be fully subsidised for the first two years.
The activation process for the Fund’s first financial instrument has already begun, with the aim of facilitating approximately €250 million in loans on preferential financing terms.
The first instrument provides, among other benefits, investment loans of up to €3.5 million, a guarantee covering up to 70% of each loan and an interest rate subsidy of up to 4% for a period of up to four years.
Who Is Eligible for Financing?
The Agricultural Entrepreneurship Fund is aimed at the broader agrifood value chain, covering both primary agricultural production and the processing and marketing of agricultural products, subject to the specific eligibility requirements of the programme.
The Fund is designed to facilitate access to finance for both established and newly formed agrifood businesses, supporting new investments as well as working capital needs.
Loans of Up to €3.5 Million – Key Financing Terms
The first financial instrument to be activated is the Agrifood Sector Guarantee Fund, backed by €80 million in public resources and expected to generate a guaranteed loan portfolio of approximately €250 million.
The main financing terms include:
- Investment loans: from €25,000 to €3.5 million, with repayment periods ranging from 2 to 15 years.
- Working capital loans: from €25,000 to €500,000, with repayment periods ranging from 2 to 5 years.
- Loan guarantee: 70% of each eligible loan.
- Interest rate subsidy: up to 4% for a period of up to 4 years.
- Advisory support: from €800 to €1,600, depending on the amount of financing.
Importantly, businesses receiving a guaranteed loan under the Fund will not be charged a guarantee fee.
Up to €1,600 in advisory support
The amount of advisory support available depends on the size of the loan:
€800 for financing of up to €50,000 | €1,000 for financing from €50,000.01 to €150,000 | €1,200 for financing from €1050,000.01 to €500,000 | €1,400 for financing from €500,000.01 to €1 million | €1,600 for financing from €1,000,000.01 to €3.5 million
The support may cover key stages of the financing process, including the preparation of the Business Plan, submission of the financing application through OPSKE, management of the required supporting documents and preparation of the application file to be submitted to the participating financial institution.
How will the application process work?
According to the official call, applicants will be required to complete a number of specific steps.
Initially, applicants will enter their business information and upload their Business Plan to the Hellenic Development Bank’s KYC platform, where they will also select the financial institutions they wish to approach.
Certain eligibility criteria will then be checked, including tax and social security compliance, as well as relevant creditworthiness information.
Following initial approval by a participating financial institution, the applicant will receive a unique identification code and proceed with the submission of the financing application through OPSKE (Integrated State Aid Information System).
The application and all required supporting documents will then be submitted to the participating financial institution, which will carry out the final assessment.
Applicants will also be required to complete questionnaires relating to ESG criteria and the environmental and carbon footprint of their business.
The final credit assessment and financing decision will be made by the participating financial institution.
When will applications open for farmers and businesses?
On 31 August 2026, the Hellenic Development Bank published the call inviting financial institutions to participate in the Fund.
The deadline for financial institutions to submit their expressions of interest is 25 September 2026 at 13:00.
Therefore, applications from farmers, producers and agrifood businesses are not yet open. They are expected to begin after the selection process for the participating financial institutions has been completed, during autumn 2026.
The eligibility period for the financial instrument extends until 30 September 2029, or until the available resources have been fully utilised.
Financing can also cover the beneficiary’s own contribution to investment programmes
Another important feature is the possibility of combining the Fund’s financial instruments with investment programmes under Greece’s Common Agricultural Policy (CAP) Strategic Plan 2023–2027, such as Farm Improvement Plans and Agricultural Processing programmes.
This means that the financing may be used to help cover the beneficiary’s own contribution to an eligible investment project, subject to the terms and conditions of each programme.
Two additional financial instruments are expected
The Agricultural Entrepreneurship Fund will include a total of three financial instruments.
The Accounting Standardization and Auditing Council (ASAC) issued opinion 518/2025, responding to a question regarding how the so-called non-capital contributions in a Private Company (P.C.) should be recorded in accounting. Ταμείο Μικρών Δανείων Αγροτικής Επιχειρηματικότητας ΙΙ προβλέπει χαρτοφυλάκιο δανείων ύψους 95 εκατ. ευρώ και χρηματοδοτήσεις από €10,000 to €50,000 για επενδύσεις ή/και κεφάλαιο κίνησης. Το 50% του δανείου θα είναι άτοκο, ενώ για το υπόλοιπο 50% προβλέπεται πλήρης επιδότηση επιτοκίου για δύο έτη.
The instrument will also provide €800 in advisory support per borrower. At the same time, the Young Farmers Guarantee Fund will be aimed at new entrants to the agricultural sector aged up to 40. It will provide investment loans ranging from €10,000 to €50,000, an 80% guarantee and the possibility of receiving non-repayable start-up support of up to €40,000, with total combined support reaching up to €90,000 per eligible beneficiary. Advisory support of up to €1,000 will also be available.
Calls inviting financial institutions to participate in these two additional instruments are expected to follow.
Let AFS Handle Your Application
Proper preparation before applications officially open can be crucial to ensuring a smooth financing process.
AFS – Athens Financial Services can assess your case and support you throughout the financing process, from the preparation of the Business Plan and required documentation to the submission of the application, in accordance with the terms and requirements of the programme.
Contact AFS:
📞 210 8317 702
✉️ info@afs.gr
Complete the contact form below with your details, and a specialised AFS advisor will contact you to discuss your financing needs and assess the opportunities available to you under the new Agricultural Entrepreneurship Fund.
