The State Fund Agriculture has approved new rules for loans on investment projects under the 2023-2027 Strategic Plan for Agriculture and Rural Development.

The fund has also decided to cut interest on new loans it finances directly in 2026 down to Bulgaria's reference rate, which has stood at 3.19% since January 1, 2026. Before this, investment loans in 2026 carried the reference rate plus a one-point surcharge.

The loan money comes straight from the State Fund Agriculture and covers projects that have already been approved. Only applicants who have signed a grant agreement under the eligible schemes can apply.

Six schemes qualify: II.G.1 "Investments in farms", II.G.1.1 "Investments in farms aimed at protecting environmental components", II.G.5 "Investments in irrigation infrastructure", "Investments in the wine sector", "Restructuring and conversion of vineyards", and "Investments in environmental facilities".

Each applicant can borrow up to 900,000 euros per project, a cap that applies to all eligible schemes until the scheme ends. For each borrower, the loan can cover up to 90% of the grant owed to them under their contract, once advance and interim payments already made are deducted.

The annual interest rate is fixed at the reference rate on the date the loan contract is signed, but it cannot fall below the level the fund's governing board sets for that year.

Farmers must submit the loan request and disbursement application on a standard form, with supporting documents, through the Electronic Services System. The fund's executive director will issue an order setting out when applications will be accepted, and the scheme will run until the deadline for carrying out the plan's projects expires.

The fund says the loans will help farmers get paid for their investment projects. It points to easier financing conditions, changes in the reference rate, and a lasting drop in farmers' demand for loans as the reasons behind the lower rate, and expects it to spur new investment in agriculture.