Armenian government to release one billion drams to subsidize agricultural leasing
20.07.2018,
10:31
The Armenian government approved Thursday the release of one billion drams to subside loans in the next 8 years to finance leasing of agricultural machinery and equipment.
YEREVAN, July 20. /ARKA/. The Armenian government approved Thursday the release of one billion drams to subside loans in the next 8 years to finance leasing of agricultural machinery and equipment. Of that amount some 119.4 million drams are earmarked for this year, minister Arthur Khachatryan said.
Khachatryan said the main goal of the program is to enable economic entities and farmers to lease machinery on accessible terms. According to him, the size of loans will vary from 35 million drams (for SMEs) to 230 million drams for the purchase of machinery.
The loans will be provided for a period of up to 8 years at an annual rate of up to 11%, of which up to 7% will be subsidized by the government. In fact, the annual leasing rate will be 4%. The beneficiaries of the program will have to make the advance payment of 20% of the value of the machinery they are going to lease. The government has provided a grace period of three months for the repayment of the principal amount of the loan.
"As a result, we expect an increased competition, increased production and export of agricultural products and replacement of some imported agricultural products with locally grown one," Khachatryan said.
According to him, leasing will be provided to farmers and companies engaged in livestock, crop growing, including greenhouses, refrigerator facilities, in particular, milk collection stations, collection, processing and packaging of fresh fruit and vegetable, cereals and other agricultural activities. . ($1 – 480.6 drams). -0-
Khachatryan said the main goal of the program is to enable economic entities and farmers to lease machinery on accessible terms. According to him, the size of loans will vary from 35 million drams (for SMEs) to 230 million drams for the purchase of machinery.
The loans will be provided for a period of up to 8 years at an annual rate of up to 11%, of which up to 7% will be subsidized by the government. In fact, the annual leasing rate will be 4%. The beneficiaries of the program will have to make the advance payment of 20% of the value of the machinery they are going to lease. The government has provided a grace period of three months for the repayment of the principal amount of the loan.
"As a result, we expect an increased competition, increased production and export of agricultural products and replacement of some imported agricultural products with locally grown one," Khachatryan said.
According to him, leasing will be provided to farmers and companies engaged in livestock, crop growing, including greenhouses, refrigerator facilities, in particular, milk collection stations, collection, processing and packaging of fresh fruit and vegetable, cereals and other agricultural activities. . ($1 – 480.6 drams). -0-
