The creation of a loan guarantee fund is the most suitable solution for farmers and for companies from other areas that were dramatically affected by the pandemic crisis, said President Maia Sandu, who had a meeting with representatives of the banking system and farmers, IPN reports.

According to President Sandu, the creation of this fund will diminish the risks for banks and will ensure the farmers’ access to resources for financing agricultural works. “We looked together for solutions to support the agricultural sector after last year’s double blow – the COVID-19 crisis and the drought. We agreed that the state’s involvement in solving the problems should be more efficient,” stated the official.

Maia Sandu criticized the previous government that, according to her, didn’t do much to help the national economy during the crisis. She said the state should urgently and responsibly intervene to save jobs, businesses and whole areas that bring value added.

The drought-stricken farmers protested for several times in 2020, asking for compensations of 3,000 lei per hectares and to keep the VAT rate at the level of 8%. Also then, they asked for solutions in the repayment or rescheduling of loans.