Georgia’s government has approved a new Agro Co-Financing State Program, which will take effect on July 1, 2026, consolidating several existing agricultural support schemes into a single framework. The reform significantly changes how projects are approved and financed, moving decision-making away from commercial banks and giving the state a central role in project selection.
Under the new model, applicants will first submit proposals to the Rural Development Agency, which will evaluate business plans and economic feasibility before any bank becomes involved. Only after state approval will commercial banks assess credit risk and financing conditions, effectively making the state the primary filter for project selection.
The program also changes funding mechanics, requiring beneficiaries to complete investments before receiving state co-financing. Maximum support per project is reduced to GEL 2 million, while total project size is capped at GEL 4 million—down from previous limits that reached GEL 15 million in some sectors.
In addition, subsidy terms are tightened: interest co-financing drops from 11% to 8%, and support duration is reduced from 48 to 36 months. The reform does not apply to applications or agreements signed before July 1, 2026, which will continue under the previous rules.
