Financial Instruments (FIs) co-financed by the European Agricultural Fund for Rural Development (EAFRD) in the scope of Rural Development Programmes (RDPs) can be a sustainable and efficient way to invest in the growth and development of businesses and infrastructure in agriculture as well as in the rural economy.

The purpose of this handbook is to serve as a guidance document for managing authorities preparing an ex-ante assessment with the intention to implement FIs under the EAFRD and, more specifically, those intending to implement FIs targeting investments in agricultural holdings, primary agricultural production activities and the first sale or direct sale of agricultural products. It reviews various agricultural sub-sectors, providing a comprehensive analytical approach towards financial needs in agriculture. As such, it is designed to provide methodological advice on how to implement the ex-ante assessment for an agricultural FI, and includes illustrative step-by-step examples.