MADR announces that in the Government meeting, the Emergency Ordinance amending Government Emergency Ordinance no. 7/2024 regarding the approval of the "Farmer's Credit" state aid scheme has been approved, in the context of the crisis caused by Russia's aggression against Ukraine. Additionally, modifications to the Law on stimulating the absorption of funds allocated to Romania for agriculture managed by MADR through financial guarantee and credit instruments, as well as for supporting national agricultural policy objectives, have been made.

The European Commission has adopted amendments to the Temporary Framework for State Aid measures to support the economy following Russia's aggression against Ukraine, extending until December 31, 2024, the possibility for member states to grant state aid in the form of grants supported from the national budget for beneficiaries in the primary agricultural production sector.

Thus, this legislative act extends the state aid scheme by extending the deadline for the conclusion of financing agreements until December 31, 2024, and the grant payment deadline until December 31, 2030.

The budget of the state aid scheme is increased by 646 million lei (from 815.5 million lei to a maximum of 1,461.5 million lei).

Also, in the context of extending the Temporary Framework for State Aid measures to support the economy following Russia's aggression against Ukraine, a corresponding modification of the deadline for the payment of aid to farmers was necessary, under Emergency Ordinance no. 13/2024 of the Government regarding the establishment of a state aid scheme for partially compensating losses in protected tomato and garlic crops.

It is emphasized that through this state aid scheme, MADR covers the interest component representing the 3-month ROBOR part, granted for a period of up to 60 months, not exceeding the nominal amount set by the financing agreement, but not more than the lei equivalent of 280,000 euros per beneficiary. The interest rate on the loans consists of the 3-month ROBOR rate plus a margin of up to 1.95% per year.