Up to €1bn worth of investment is expected to be unlocked as a result of €400m in loans provided by the European Investment Bank (EIB).

The loans, announced on 17 April, will concentrate on the agriculture and bio-economy sector, which focuses on processing food, material and energy from renewable biological sources.

“I am delighted to welcome this initiative which will, with the support of the Juncker Plan, provide a €1bn boost to jobs and growth in Europe's rural economy,” the European Commissioner for Agriculture, Phil Hogan stated.

Loan amounts will range between €7.5m and €50m, and enable direct lending for private sector investments.

“With this single programme loan of €400 million we can expect to support more than €850 million worth of investments in the sector across Europe.

“The promotion of bio-economy value chains – for example in food and forestry-based industries – is key to achieving EU and Sustainable Development Goal (SDG) objectives on the environment and the low-carbon/green economy,” the EIB Vice-President responsible for bio-economy, Andrew McDowell said.

The EIB is owned by EU member states, and provides long-term loans to aid the achievement of EU policy goals, with projects funded under the loan scheme being implemented between 2018 and 2022.

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