27.10.2026.
As of 28 October 28 2026, the Croatian Bank for Reconstruction and Development (HBOR) starts receiving applications for the financial instrument "Loans for the Processing of Agricultural Products" intended for micro, small, and medium-sized enterprises investing in the development and modernisation of processing capacities in the agro-industrial sector.
This is a financial instrument implemented by HBOR within the framework of the Strategic Plan for the Common Agricultural Policy of the Republic of Croatia 2023-2027, for which a total amount of EUR 18.6 million has been provided. The financial instrument was established under a Financing Agreement signed in June of this year by HBOR, the Ministry of Agriculture, Forestry and Fisheries, and the Paying Agency for Agriculture, Fisheries and Rural Development, with the aim of encouraging investment in processing capacities and increasing the value added of domestic agricultural production.
Loans in the amount from EUR 200,000 to EUR 3 million are made available to borrowers, with the possibility of obtaining a capital rebate, i.e. a write-off of up to 40 percent of the loan principal when specified criteria are met. Loans are granted through a direct lending model and are financed from the Strategic Plan of the Common Agricultural Policy and the funds from HBOR in proportion 50:50.
The programme is intended for investments in the processing of agricultural products in the meat, cereals, and fruit and vegetable sectors that include the construction, purchase, reconstruction, and equipping of slaughterhouses, as well as facilities for processing cereals, fruits and vegetables. Investments in existing processing facilities are also eligible, provided they involve modernisation, capacity expansion, or the re-establishment of a production activity.
HBOR may generally finance up to 85 percent of the investment value, the repayment period can be up to 20 years, including a grace period of up to three years, while the interest rate on the principal part of the loan that is financed from CAP SP funds is 0 percent.
The Minister of Agriculture, Forestry and Fisheries David Vlajčić emphasized:
''Our goal is to provide farmers and food processors with greater opportunities for development. By transforming high-quality local raw materials into value-added products, we are shortening supply chains, creating new sustainable jobs and strengthening the resilience of the food industry. Through this finance model, we aim to give entrepreneurs an additional boost for investment and growth. It is important to emphasise that Croatia is the first member state of the European Union to introduce this type of loan scheme under the CAP Strategic Plan, including the possibility of a partial loan principal write-off, which is something we are particularly proud of.''
Hrvoje Čuvalo, President of HBOR’s Management Board, explained that the objective of the programme was to encourage new investments that would increase the added value of domestic agricultural production.
"The possibility of writing off up to 40% of the loan principal is a strong additional incentive for investments in processing capacities. We believe that this element of the programme will enable entrepreneurs to implement investments more quickly, contributing to the modernisation of production, enhanced competitiveness and the creation of greater added value in the domestic food processing sector,” said Čuvalo.
Loan applications, together with the required supporting documentation, may be submitted from 28 October 2026. More information about the programme is available at the following link: - https://www.hbor.hr/loans-for-the-processing-of-agricultural-products/2821.
As of 28 October 28 2026, the Croatian Bank for Reconstruction and Development (HBOR) starts receiving applications for the financial instrument "Loans for the Processing of Agricultural Products" intended for micro, small, and medium-sized enterprises investing in the development and modernisation of processing capacities in the agro-industrial sector.
This is a financial instrument implemented by HBOR within the framework of the Strategic Plan for the Common Agricultural Policy of the Republic of Croatia 2023-2027, for which a total amount of EUR 18.6 million has been provided. The financial instrument was established under a Financing Agreement signed in June of this year by HBOR, the Ministry of Agriculture, Forestry and Fisheries, and the Paying Agency for Agriculture, Fisheries and Rural Development, with the aim of encouraging investment in processing capacities and increasing the value added of domestic agricultural production.
Loans in the amount from EUR 200,000 to EUR 3 million are made available to borrowers, with the possibility of obtaining a capital rebate, i.e. a write-off of up to 40 percent of the loan principal when specified criteria are met. Loans are granted through a direct lending model and are financed from the Strategic Plan of the Common Agricultural Policy and the funds from HBOR in proportion 50:50.
The programme is intended for investments in the processing of agricultural products in the meat, cereals, and fruit and vegetable sectors that include the construction, purchase, reconstruction, and equipping of slaughterhouses, as well as facilities for processing cereals, fruits and vegetables. Investments in existing processing facilities are also eligible, provided they involve modernisation, capacity expansion, or the re-establishment of a production activity.
HBOR may generally finance up to 85 percent of the investment value, the repayment period can be up to 20 years, including a grace period of up to three years, while the interest rate on the principal part of the loan that is financed from CAP SP funds is 0 percent.
The Minister of Agriculture, Forestry and Fisheries David Vlajčić emphasized:
''Our goal is to provide farmers and food processors with greater opportunities for development. By transforming high-quality local raw materials into value-added products, we are shortening supply chains, creating new sustainable jobs and strengthening the resilience of the food industry. Through this finance model, we aim to give entrepreneurs an additional boost for investment and growth. It is important to emphasise that Croatia is the first member state of the European Union to introduce this type of loan scheme under the CAP Strategic Plan, including the possibility of a partial loan principal write-off, which is something we are particularly proud of.''
Hrvoje Čuvalo, President of HBOR’s Management Board, explained that the objective of the programme was to encourage new investments that would increase the added value of domestic agricultural production.
"The possibility of writing off up to 40% of the loan principal is a strong additional incentive for investments in processing capacities. We believe that this element of the programme will enable entrepreneurs to implement investments more quickly, contributing to the modernisation of production, enhanced competitiveness and the creation of greater added value in the domestic food processing sector,” said Čuvalo.
Loan applications, together with the required supporting documentation, may be submitted from 28 October 2026. More information about the programme is available at the following link: - https://www.hbor.hr/loans-for-the-processing-of-agricultural-products/2821.