The Future Growth Loan Scheme (FGLS) is open for applications from 17 April, with up to €60m available to farmers out of the €300m scheme.

A two-stage application process is in place, and farmers must first apply to the Strategic Banking Corporation of Ireland (SBCI) and go through an eligibility check before being supplied with a reference number they can use with one of the approved lenders.

Farmers will also need to complete a business plan for amounts over €250,000 as part of the eligibility process.

It will then be up to AIB, Bank of Ireland or KBC as to whether a farmer meets the bank’s terms and conditions for a loan.

According to the SBCI, loans for primary agriculture must fulfil a certain purpose. These include:

  • The improvement of the overall performance and sustainability of the agricultural holding.
  • The improvement of the natural environment, hygiene conditions or animal welfare standards, provided the investment goes beyond EU standards.
  • The creation and improvement of infrastructure related to the development, adaptation and modernisation of agriculture.
  • The achievement of agri-environmental climate objectives.
  • The restoration of production potential damaged by natural disasters, adverse climatic events, animal diseases, plant pests and the prevention of damages caused by those events.
  • The SBCI notes that the purchase of cattle does not qualify for loans.

    Loan details

    Loan amounts of between €50,000 and €3m are available per applicant.

    Maximum interest rates of 4.5% for loans up to €249,000 and 3.5% for loans greater than €250,000 apply.

    Loans are available on terms ranging from eight to 10 years and can be unsecured on amounts up to €500,000.

    The initial SBCI application can be completed online and the application form can be found by clicking here.

    Read more

    Cattle not included in low-cost loans

    Minimum €50,000 draw-down for low-cost loans