Friday, February 16 2018 15:58

ArmInfo. In 2018, according  to the state program of subsidizing the interest rates of  agricultural loans, it is envisaged to provide credits for 9.4  billion AMD to 2100 beneficiaries. 2030.8 billion AMD will be  allocated for subsidizing the state budget. ArmInfo was informed  about this in the press service of the RA Ministry of Agriculture.

According to the source, for the IV quarter of 2017 in 2017 Armenian  farmers received 913 credits for 4241.6 million AMD within the  framework of the state program of subsidizing interest rates of  agricultural loans. On average, the amount of one loan was 4.65  million AMD. During the reporting period, within the framework of the  state program, 224 training seminars were held, in which about 5562  farmers took part.  As a result, 5326 certificates were issued to  receive a loan under this state program.

The size of the loan under the state program of subsidizing  agricultural credits ranges from 3 million to 10 million drams,  interest rates taking into account state subsidies will be 5% per  annum, against the previous 8%, and for border communities receiving  state support and farm cooperatives - taking into account state  subsidies rates will be 3%. To join the state program, farmers need  to pass a seminar and get relevant certificates from the regional  subdivisions of the Agricultural Development Fund, allowing them to  apply to the finance structures for a loan.

Before the launch of the program, the Ministry of Agriculture, the  Program Office for the Economic Development of Rural Communities and  a number of financial institutions signed a memorandum of  cooperation. These are ACBA-Credit Agricole Bank, and universal  credit companies (CCC) , ,  DICA (formerly called SME Investments), . The updated version  of the program (subject to revised terms) was adopted by the RA  government on September 14, 2017.  According to the Financial Rating  of Armenian Banks prepared by IA ArmInfo, the volume of agricultural  loans as of October 1, 2017 reached 147.8 billion AMD or $ 309  million with an annual decline of 4.4%, and only 9 months of 2017 -  by 1.9%. The unchallenged leader in agricultural loans is ACBA-Credit  Agricole Bank, covering 47% of the total volume.