AGRICULTURE MINISTRY MULLING CREATION OF GUARANTEE AGENCY FOR LENDING TO AGRARIANS » Ukraine open for business

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AGRICULTURE MINISTRY MULLING CREATION OF GUARANTEE AGENCY FOR LENDING TO AGRARIANS

29 Dec , 2017  

A guarantee agency can be created for lending to agricultural producers, First Deputy Minister of Agrarian Policy and Food Maksym Martyniuk told Interfax-Ukraine.
“We did not ask for this postponement [of the moratorium on the sale of agricultural land], but since lawmakers decided so, then in the next 12 months we will concentrate on the establishment of the State Agricultural Guarantee Agency – this is a working name,” he said.
According to him, the said structure can be a state financial institution that would act as a guarantor for loans that agrarians want to borrow.
“The agency’s charter capital can be formed at the expense of 1% of GDP allocated for the support of the agro-industrial complex. If we allow [farmers] to get loans and they will be cheap, I think this will remove the populist question: “Where does the farmer take money to buy land?” he added.
Ukraine’s parliament extended the moratorium on the sale of farmland until January 1, 2019.