Domestic agricultural sector received loans for 115 billion UAH in 2017

Submitted by bashun on Wed, 03/14/2018 - 16:15

Ukrainian banks in 2017 have financed agrarians for 115 billion UAH. This is written by a7d.com.ua.

It bears reminding that according to the National Bank of Ukraine, there is a good dynamics of hryvnia loans for agrarians: an increase of 24.1%, and only 10% of them are problematic.

The report notes that lending to small and medium-sized businesses, according to bankers, has grown by 70%. At the same time, credit portfolios of small banks are 40% of loans to agricultural producers. Most banks prefer to lend to households that have in processing from 500 to 10 thousand hectares. However, as experts note, such agribusinesses, as a rule, do not know how to correctly prepare the necessary package of documents and draw up a business plan.

Another source of financing, which, according to some estimates, accounts for more than half of the credit for the agricultural sector, are loans from producers of plant protection products, as well as seeds, agricultural machinery, etc. They have advantages over banks in knowing information about the borrower. Such companies provide loans faster than banks, sometimes even within a day, and the percentage of loans granted to regular buyers of products of companies may be even below 10%.

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