A new Guarantee Fund supported under the European Agricultural Fund for Rural Development (EAFRD) and managed by the European Investment Fund (EIF) will provide investment support for SMEs in the French region Occitanie/Pyrénées-Méditerranée.

The new Guarantee Fund is the first Financial Instrument (FI) under the EAFRD to be managed by the EIF. It will help leverage a loan portfolio of € 67.5 m, aiming to stimulate the local economy by facilitating investment in riskier projects related to food, farming and forestry. The support will be provided by the French ‘Banque Populaire du Sud’.