State-owned Oschadbank (Kyiv) has launched a preferential lending program for agrarians for the 2023 sowing season to purchase seeds, plant protection products, microfertilizers and machinery from Spectrum-Agro LLC (Obukhiv, Kyiv region).
According to the press service of Oschadbank, farmers will be able to purchase agricultural machinery on credit at 5% and 9% per annum for working capital replenishment of up to UAH 90 million under the government program “Affordable Loans 5-7-9%”.
Microfertilizers, plant protection products and soybean seeds produced by Spectrum-Agro can be purchased at a rate of 0.01% per annum for up to UAH 20 million with a seasonally adapted repayment schedule, the release said.
According to Oschadbank, to obtain such a loan, it is enough to provide a simplified package of documents to obtain a decision on it. In addition to priority consideration of applications, all those who have taken advantage of the loan will be able to quickly receive a preliminary decision to replenish working capital through the online platform Agroapp.
The State Bank also reported that since February 24, 2022, it has provided about UAH 10 billion to agricultural enterprises under the Affordable Loans 5-7-9% program. The share of agricultural loans in the total portfolio of this program issued by Oschadbank during the war is 72%. The second place is occupied by trade enterprises, to which the bank issued 16% of loans under the affordable loan program.
“Spectr-Agro is a distributor of plant protection products, fertilizers and agricultural machinery from leading global and Ukrainian manufacturers (Deutz-Fahr, HARDI, Kockerling, Dieci, SOLA).
According to opendatabot, Spectrum-Agro increased its revenue by 1.2% to UAH 6 billion 262.6 million in 2022, while its net profit decreased by 20% to UAH 209.84 million.
State-owned Oschadbank, according to the National Bank, ranked 2nd in terms of total assets (UAH 311.19 billion) among 65 banks in the country as of March 1, 2023.
