Politics

Home page

Politics

Farmers to get agricultural loans

21 May 2007 15:40 (UTC +04:00)

Azerbaijanâ€™s State Agency for Agricultural Credits will start lending agricultural loans to farmers under new conditions.
The Agriculture Minister, Ismat Abbasov, AZN 5 million has been allocated from the state budget to finance production and processing of agricultural goods, melioration, improvement of irrigation systems, development and modernization of foodstuff industry, procurement of agricultural vehicles and appliances, artificial fertilization etc.
To finance these projects, the authorized credit organizations will lend microloans (up to AZN 1,000) for 2 years, small credit (from AZN 1,000 to AZN 20,000) for 3 years, medium loans (from AZN 20,000 to AZN 50,000) for 3 years, and large loans (up to AZN 200,000) for 5 years.
The grace period for micro loans is 12 months, for small and medium loans 18 months and for large loans 24 months.
The Agency allows the total loan funding to the authorized organizations at 2% interest rate annually and the authorized organizations lends at no more than 7% annually (including 2%). /APA-Economics/