1. The borrower should be an economic entity with legal personality;

2. The production and operation projects undertaken by the borrowing unit shall be the three rural projects approved by the leading organs at or above the county level;

3. Borrowing units and individuals should have their own funds in accordance with the prescribed proportion, or have enough property to pay off the loan as collateral;

4. Borrowing units should open accounts in agricultural banks and credit cooperatives and abide by their credit.

Legal basis

Article 3 of the Trial Measures for Agricultural Loans

All production and construction corps, state-owned farms, pastures, forest farms, aquaculture, overseas Chinese farms, reform-through-labour farms, tractor stations, electromechanical irrigation and drainage stations, and reform-through-labour farms that have been approved by the leading organs at or above the county level, implemented independent economic accounting, and allocated sufficient liquidity to make up their losses on schedule.

Article 5

The loan shall be repaid on schedule. The loan period is generally not more than one year. In case of special circumstances, if it cannot be returned on time, the enterprise shall apply and may postpone the return after the bank agrees. The loan should pay interest at the interest rate stipulated by the state.