Coveney says EIB funding would force down interest rate

Agriculture Minister Simon Coveney has held out hope of cheaper bank loans for farmers, through European Investment Bank funding.

Earlier this year, EU Commissioner for Agriculture and Food, Phil Hogan outlined plans to roll out a guarantee fund with EIB backing, which offers security for up to 80% of the value of loans to be provided by banks.

These EIB backed loans will be part of the Rural Development Programmes in each Member State and will finance investments in the areas of farm performance, processing, marketing and business start-ups.