Funding of agricultural sector doubles in Kazakhstan
Baku, Azerbaijan, Oct. 18
By Elena Kosolapova – Trend:
The volume of loans to agricultural sector in Kazakhstan has doubled in the last two years. The share of loans to agriculture among all the loans to economy increased from less than 5 percent to 9 percent, Energyprom.kz analytical service reported.
The loan portfolio of the agricultural sector increased by 67 percent to 734 billion tenge (331.74 tenges = $1) in the last two years.
In January-August 2016, banks issued to the agricultural sector new loans in the amount of 188 billion tenge, which is 2 times more compared to the same period of 2015.
Increase in agriculture funding had a positive impact on this sphere – in 1H2016 small, medium and large agricultural producers got 10 billion tenge of net profit compared to 7.3 billion tenge loss in the same period of 2015. Profitability of the agricultural sphere hit 3 percent in January-June 2016.
As much as 43 percent of all the loans to agricultural sector have been issued by National Holding KazAgro. KazAgro’s loan portfolio increased by 84 billion tenge, or 20 percent in 2015.
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