Farmers Shall Receive 300 million UAH for Reduction of Loan Interest Rates
As Oleksiy Pavlenko, the Minister of Agrarian Policy and Food of Ukraine, reported, the Cabinet of Ministers of Ukraine had agreed to allocate 300 million UAH of budget funds for financial support of the activities in the agricultural sector through the cheapening of credits. The funds will be used for reducing the loan interest rates for small and medium agricultural enterprises.
The Minister stressed that this will allow the agricultural producers, as it was in the previous year, to attract 7.8 billion UAH of credits in the framework of a state program on refund of loan interests.
According to the Minister, this compensation will affect the interest rates on loans, attracted for covering such costs as procurement of combustible and lubrication materials, seeds and fertilizers, plant protection products, feed, veterinary preparations, young stock of animals and poultry, equipment for livestock farms and complexes etc.
«The allocation of loan funds will create favorable conditions for attraction of bank credits and will enable the agricultural entities to receive the governmental support on loans, thus improving the financial condition of farmers», Oleksiy Pavlenko stressed and added that the issue of distribution of funds was fully decentralized and the decision had been made on the regional level.