Belgrade – The Government of the Republic of Serbia has adopted the Regulation on Establishing a Guarantee Scheme as a measure of support to the economy for easing the consequences of the COVID-19 pandemic, as well as the Regulation on Financial Assistance to Farms and the Regulation on Financial Support to Farms through facilitated access to the use of loans in difficult economic conditions due to the COVID-19 pandemic.

According to the Minister of Finance of the Republic of Serbia, Sinisa Mali, the Program of Economic Measures to Support the Economy has been completed with the adoption of the above-mentioned regulations.  

Through the Agrarian Payments Directorate, 2.6 billion dinars are available to our farmers as of Tuesday, for the purpose of alleviating the effects of the crisis caused by the coronavirus.

The holder of a commercial family farm that is registered in the Register of Farms and is in active status is entitled to receive the said financial assistance.

In addition to the general requirements, it is necessary for the applicant to have the areas where vegetables are grown in greenhouses entered in the Register, or to be the owner of an animal (cow, sheep or goat) which is labeled and registered in the Central database on animal labeling.

Owners of labeled and registered bee-hives, regardless of weather they are holders or members of the farm, are also eligible for financial assistance, provided they are 70 years of age or older in 2020.

The full amount of one-off assistance is determined by the unit of the area entered in the Register, or by the head of livestock or the number of bee-hives, as follows:

 – 25 dinars per square meter of the entered in the Register area where vegetables are grown in greenhouses, and up to a maximum of 90,000 dinars;

 – 3,000 dinars per cow, and up to a maximum of 30,000 dinars;

 – 500 dinars per sheep or goat, and up to a maximum of 20,000 dinars;

 – 800 dinars per bee-hive, and up to a maximum of 20,000 dinars.

Funds amounting to 1,150,000,000 dinars have been set aside for the implementation of this regulation.

The payment of financial assistance to the farms is effected by the Ministry of Finance – the Treasury Directorate, based on the data submitted by the Ministry of Agriculture, Forestry and Water Management – the Agrarian Payments Directorate.

The Regulation on financial support to farms through facilitated access to the use of loans in difficult economic conditions due to the COVID-19 disease caused by the SARS-CoV-2 virus, through subsidizing part of the interest, is facilitated for:

 – The development of cattle-breeding, which covers the procurement of animals and the animal insurance premium prescribed by this Regulation;

 – The development of farming, fruit-growing, viticulture, vegetable-growing and floriculture;

 – Investment in agricultural machinery and equipment;

 – Procurement of food for animals;

 – Investment in specific types of machinery and equipment used in plant agricultural production;

 – Solvency.

A physical person and an entrepreneur can exercise the right to loan support provided that the total loan amount is up to 6,000,000 dinars, while a legal entity gains loan support provided that the total loan amount is up to 18,000,000 dinars.

The amount of the solvency loan is up to 3,000,000 dinars.

The funds for the implementation of this Regulation were set in the total amount of  1,450,000,000 dinars, it was announced on the website of the Agrarian Payments Directorate of the Ministry of Agriculture, Forestry and Water Management.

Source: OK Radio and Coordination Body