"Lande to lend €10 million to farmers with EIF guarantees

Agriculture crowdfunding platform „Lande“ with guarantees from the European Investment Fund (EIF) intends to distribute up to €10 million in loans to farmers in Lithuania and Latvia.

This instrument will provide small and medium-sized farmers with better access to finance, the company said. Thanks to this guarantee instrument, farmers who previously did not have sufficient collateral for land, machinery or stored grain will now be able to obtain financing on more favourable terms, Haraldas Neimanis, head of the Baltic region at Lande, said in a statement.

„The EIF Guarantee is an important complement to existing national and EU support instruments, allowing us to offer financing to an even wider range of farmers, – said Nikita Gonchar, Founder and CEO of „Lande“ in a statement. 

Under the agreement, the EIF guarantee will cover up to 80% of the credit risk for loans of up to €50,000, which will be granted without the requirement to provide collateral. The EIF guarantee will also allow „Lande“ to reduce interest rates and broaden its customer base, including smaller farmers.