The government has set up a loan guarantee fund for farmers
The government supported the decision to establish a Fund for Partial Guarantee of Loans in Agriculture. This is known from a government meeting.
The creation of the Fund will provide state guarantees for small and medium-sized farms. In addition, the government determined the authorized capital of the fund at UAH 200 million.
Earlier, Minister of Agrarian Policy Roman Leshchenko explained that thanks to the Fund, farmers who cultivate up to 500 hectares will have guarantees from the state to obtain loans from financial institutions.
The Fund will provide guarantees of up to 50% of the outstanding principal amount and guarantees for the term of the loan agreement, but not more than 10 years.
Participants of the Fund, in addition to the state, may be international financial organizations and other legal entities.
It is assumed that the Fund for Partial Guarantee of Loans in Agriculture should acquire the status of a financial institution and obtain a license.