31974L0493

3. 10. 74 Official Journal of the European Communities No L 268/ 15

II

(Acts whose publication is not obligatory)

COUNCIL

COUNCIL DIRECTIVE of 2 October 1974 on the level of the interest rate subsidy referred to in Article 8 (2) of Directive No 72/ 159/ EEC

(74/493/EEC)

THE COUNCIL OF THE EUROPEAN eligible for assistance from the Guidance Section of COMMUNITIES, the European Agricultural Guidance and Guarantee Fund, Having regard to the Treaty establishing the European Economic Community ; HAS ADOPTED THIS DIRECTIVE : Having regard to Council Directive No 72/ 159/EEC (*) of 17 April 1972 on the moderniza­ Article 1 tion of farms, and in particular the first indent of the second subparagraph of Article 8 (2) and the second Member States shall be authorized to increase to 6% , subparagraph of Article 19 ( 1 ) thereof ; for the period from 7 October 1974 to 31 December Having regard to the proposal from the Commission ; 1975, the interest rate subsidies referred to in the first subparagraph of Article 8 (2) of Directive No Having regard to the Opinion of the European Parlia­ 72/ 159/EEC. ment ; Whereas the first indent of the second subparagraph Article 2 of Article 8 (2) of Directive No 72/ 159/EEC provides that Member States may be authorized to grant Expenditure incurred by Member States pursuant to interest rate subsidies exceeding 5% , if such action is Article 1 shall be eligible for assistance from the Guid­ warranted by the situation of the capital market in the ance Section of the EAGGF under the first subpara­ Member States ; graph of Article 19 (3) of Directive No 72/ 159/EEC.

Whereas the current situation of the capital market in Article 3 the Member States, and the exceptional burdens this is placing on farmers wishing to modernize their This Directive is addressed to the Member States. farms, is threatening the modernization of agriculture which last is the aim of Directive No 72/ 159/ EEC ; whereas the granting of interest rate subsidies Done at Luxembourg, 2 October 1974. exceeding 5% is therefore justified ; For the Council Whereas under the second subparagraph of Article 19 ( 1 ) of Directive No 72/ 159/EEC, any increased expen­ The President diture incurred by Member States as a result of an inciease in the interest rates subsidy may be declared Ch . BONNET

0) OJ No L 96, 23. 4. 1972, p. 1 .