1. ISMEA – SGFA Rural Credit Guarantee Funds
January 12th Budapest

2. Rural Credit Guarantee Fund (FIG)
The Past
Ministry of Economy
Supervision
Rural Credit Guarantee Fund (FIG)
Subsidiary guarantee

3. The Change – First Step
Public rural credit guarantee funds reorganization:
2004 December – the Fund merged by incorporation into ISMEA
ISMEA – Rural Market Services Government Agency
Supervised by Ministry of Agriculture

4. The Change – Second Step
ISMEA added new guarantee products to the subsidiary guarantee
December 2005 – ISMEA’s guarantee activities pass to SGFA (company 100% owned by ISMEA)

5. Ministry of Agriculture
Current Situation
Ministry of Agriculture
Supervision
ISMEA
100%
Subsidiary guarantee
SGFA
Direct guarantee

6. The Subsidiary Guarantee Fund
The fund was established in 1961 in order to help farmers to access long-term agricultural loans to start up new business
In the seventies the Fund was allowed to issue guarantees for agricultural medium and short-terms loans too

7. The Subsidiary Guarantee
Automatically issued by the Fund
Paid by the Fund when the banks incur a loss after the primary guarantees collection

8. Additional guarantees
The Fund’s Activity
From To
Bank
Loan
Borrower
Borrower
Primary guarantee
Bank
After the primary guarantees compulsory collection
Fund
Subsidiary guarantee
Bank
After the payment
Borrower
Additional guarantees
Fund

9. Cover Percentage

10. The Direct Guarantee Fund
Still in progress
A State counter guarantee is provided for SGFA guarantee engagements
Three products
First Call Guarantee
Co-Guarantee
Counter Guarantee

11. Thank you Giorgio Venceslai venceslai@sgfa.it SGFA Via In Lucina, n.17
00186 – Rome – Italy
Tel