The program "Youth Credit Facilities", launched at the initiative of the Ministry of Finance, already has 87 beneficiaries and has expanded into 22 districts. The amount of loans granted to young entrepreneurs is 54.9 million lei, after the first six months of activity, IPN reports.
Most of the loans were offered to young entrepreneurs from ATU Găgăuzia, Chisinau municipality and Râșcani district. The amount of the loans granted to young people from ATU Gagauzia is 15.6 million lei and 3.8 million lei each for youth form Chisinau municipality and Râșcani district.
The financed expenses are related to purchase of agricultural technology, equipment for small-scale irrigation systems and mineral fertilizers. Additionally, the financed expenses covered costs for refrigeration equipment, greenhouses, planting material, seeds, connection to electricity and water supply, furniture manufacturing equipment, etc.
The Ministry of Finance notes that the Program was launched to promote and encourage young entrepreneurs and to create new jobs. The need for additional support is provided via reduced interest rates on new loans contracted through commercial banks. Thus, for the loans granted within the Program, the interest rate is at least two percentage points below the annual market rate.
Additional resources of around 65 million lei are available to support young people within the Program's credit line through revolving current funds from external state development loans.
In order to benefit from these facilities, the founders of the enterprise must be young citizens of the Republic of Moldova and must hold at least 75% of the ownership of the enterprise or business. The maximum amount of a sub-loan is 1.5 million lei. Young people can contact the intermediary financial institutions participating in the program.
