Financial instruments for rural development 2014–2020, Occitanie/Pyrénées-Méditerranée, France
This case study features a financial instrument from France's Occitanie/Pyrénées-Méditerranée Region that uses the European Agricultural Fund for Rural Development (EAFRD). It is implemented through a fund of funds structure (named FOSTER TPE-PME) which aims at improving funding conditions for final recipients through financial instruments, including First Loss Portfolio Guarantees (FLPG) supporting the agricultural, food and forestry sectors.
Funding of EUR 27 million is expected to support more than 1 000 final recipients. The financial instrument provides guarantees covering loans, so financial intermediaries can offer better access to finance for rural development investments. This promotes the development, processing and marketing of agricultural products as well as the creation and development of non-agricultural activities in rural areas and forestry technologies.