Most of the guaranteed loans taken out by small and medium-sized enterprises (SMEs) are invested in modernizing agriculture and the processing industry, Info-Prim Neo reports, quoting the Ministry of Economy. A sum of 5.7 million lei has been transferred this year from the state budget to the Loan Guarantee Fund working under the Organization for the Development of the Small and Medium-Sized Enterprises. The Fund now totals 13.3 million lei. The balance of active guarantees issued from the Fund represents 36 guarantees to the value of 8.8 million lei, which enabled releasing loans of over 22 million lei. According to Deputy Prime Minister and Minister of Economy Valeriu Lazar, the given guarantees cover about 40% of the bank loans raised by SMEs. A guarantee varies between 50,000 lei and 700,000 lei. The guarantees are intended for medium-term loans designed for starting and extending businesses, and short-term loans for increasing the working capital. The guaranteed loans are used as investments in modernizing agriculture, especially the agricultural machinery stations, the processing industry and the service sector. Valeriu Lazar said that a number of foreign donors expressed readiness to contribute money to the Loan Guarantee Fund. The Government intends to augment it to 100 million lei.