By-laws of HBOR
Decision on General Terms and Conditions of HBOR Lending Activities
HBOR Act

The ‘Investment Loans for Rural Development’ (Investicijski krediti za ruralni razvoj) is one of the lending instruments of the Croatian Bank for Reconstruction and Development (HBOR, Hrvatska banka za obnovu i razvitak).
It serves farmers and entities doing business in the agricultural products processing industry as well as entities doing business in the forestry industry set up in the following legal forms: family farms, crafts businesses registered for performing activities in the agricultural industry, companies (processing entities included), co-operatives (processing entities included).
The purpose of the loan is to finance investments for measures from the Rural Development Programme (RDP) of the Republic of Croatia for the 2014-2020 period. This includes, among other things, the use of renewable energy sources in agricultural holdings (poljoprivredna gospodarstva) (sub-measure 4.1, type of operation 4.1.3) and in processing, marketing, and/or development of agricultural products (sub-measure 4.2, type of operation 4.2.2).
Implementation of the loan is available only through commercial banks which have been selected through public procurement procedure.

The minimum amount of the loan is 50,001 EUR, while the maximum amount is 1,000,000 EUR in HRK equivalent value in accordance with the middle exchange rate of the Croatian National Bank on contract execution date.
A loan is funded from the Programme Contribution and by commercial banks in proportion 50:50. Generally, borrower’s own share in the investment should be 10% of total investment value (VAT not included), but it is possible to finance up to 100% of total investment value (VAT not included), depending on the assessment of the commercial bank.
The interest rate is 0% for the part of the loan provided from the Programme Contribution and the interest rate for the part of the loan provided from commercial bank’s funds is a business decision made by the bank. However, the interest rate is fixed for the entire duration of the loan repayment.
There are no loan application fees.
The repayment period is up to 15 years, including the grace period (3 years, or 5 years for investments in perennial crops). The repayment period can be prolonged for users whose business has suffered because of the COVID-19 pandemic.
All particularities are further explained in the open call.

Addressees are farmers and entities doing business in the agricultural products processing industry as well as entities doing business in the forestry industry set up in the following legal forms: family farms, crafts businesses registered for performing activities in the agricultural industry, companies (processing entities included), co-operatives (processing entities included).
Eligibility criteria for borrowers and eligible sectors are listed in the complete description of the loan programme.

Necessary documentation depends on the manner of implementation, the loan programme and type of investment, type and size of the client as well as the purpose and amount of the requested loan.
Concerning the RES installation, the investor handles the necessary bureaucracy and procedures for installation of the RES itself with the distribution system operator (currently only HEP ODS d.o.o.) and other necessary entities.
The outline of the procedure is available on the webpage of the loan on the HBOR website.

Hrvatska banka za obnovu i razvitak (HBOR)