This report offers a first look into the financial gap for agricultural enterprises for short-term and for medium and long-term loans. It is based on established European Commission methodology (Ex-ante assessment of the EU SME Initiative, 2013) and incorporates improved calculations. The input variables are based on updated data from Eurostat, the Farm Accountancy Data Network (FADN) provided by DG AGRI and the SAFE survey. Wherever specific data for the agricultural sector was not available, approximations were used.
This study provides information about the implementation of the European Agricultural Fund for Rural Development through financial instruments and is based on experience in Member States during the current programming period.
The SME Initiative is a joint financial instrument of the European Union and the European Investment Bank Group, designed to stimulate finance for small and medium-sized enterprises in the Member States. It can be targeted to support farmers and/or agribusinesses under the European Agricultural Fund for Rural Development, boosting in this way investments in agriculture and forestry as well as in the rural economy.
Capacity Building Services (CBS) offered by fi-compass are meant to support European Social Fund (ESF) managing authorities who are interested in advancing with the design and set-up of financial instruments under the ESF. CBS address the specific needs of ESF managing authorities related to the preparation and implementation of financial instruments and strengthen their skills via specific initial and advanced capacity building learning modules.
The targeted coaching service from fi-compass is designed to help build capacity about financial instruments for managing authorities that use the European Agricultural Fund for Rural Development (EAFRD). This coaching provides knowledge and confidence to help EAFRD managing authorities to ‘get going’ with financial instruments. It is designed in a way that addresses the specific needs of each participating managing authority.
Factsheet (Potential role of market responsive EAFRD financial instruments Feasibility study – initial findings)
Price volatility in agriculture can discourage farm investments and hinder farmers’ access to affordable finance. Ultimately, it can negatively impact on the achievement of rural development policy objectives.
Financial instruments using the European Agricultural Fund for Rural Development (EAFRD) provide benefits through investments that improve agricultural competitiveness and resource efficiency, as well as strengthen the overall rural economy. The European Commission in partnership with the European Investment Bank Group provides methodological advice and awareness-raising activities about EAFRD financial instruments through the fi-compass knowledge sharing platform.
In the framework of the European Social Fund (ESF) thematic objectives, personal loans refer to finance for individuals that have been excluded from traditional financial services. These are often given for education or training, or to improve their employment prospects or towards reconciliation of work and private life. Personal loans co-financed by the ESF often have better terms than market loans including lower interest rates, longer and more flexible repayment periods, and lower or no collateral requirements.
This fi-compass factsheet explains how to distinguish social enterprises' financial needs from those of other enterprises and how to address these needs using European Social Fund (ESF) financial instruments. Content covers five topic areas: social enterprises and how they can contribute to the ESF objectives; the social enterprise financial ecosystem; financial intermediaries working with social enterprises; financial products for social enterprises; and combination of support for social enterprises.
This factsheet provides information on the opportunities available in the 2014-2020 programming period where financial instruments are a sustainable complement to traditional grant based financing. Primarily intended for European Social Fund (ESF) managing authorities and other stakeholders, this document raises awareness and builds a deeper understanding of the role of ESF programmes in supporting microfinance instruments.