Azerbaijani State Agency to Issue Agriculture Loans

Business Materials 6 September 2007 18:53 (UTC +04:00)

Azerbaijan, Baku corr Trend S.Babayeva / In September, the State Agency for Agriculture Credits at the Azerbaijani Agriculture Ministry is likely to commence the issuance of loans, Famil Rustamov, the Deputy Head of the Agency said on 6 September.

The Agency will issue privileged loans for individuals and legal persons involved in entrepreneurship through authorized credit organizations.

The State Agency carried out the work for its part. The banks selected (Texnikabank, Turanbank, Rabitabank, MuganBank, ZaminBank, Bank of Azerbaijan, Gencebank, Azerbaycan Senaye Banki, and the non-bank organization IKA -Icrachi Kredit Agentliyi) are involved in organization issues for the issuing of credits. "The work here will conclude shortly," Rustamov said.

At the first stage, it is planned to spend AZN 5mln in accordance with the decree by the Cabinet of Ministers, the loans can be used on production and refinery of agriculture products, improvement of melioration and irrigation of lands, supply of irrigation equipment, upgrade and development of the foodstuff sector, purchase of agriculture equipment and chemical substances, pilot projects of the Agriculture Ministry, and artificial insemination in cattle breeding.

Micro-credits will be issued in the amount of AZN 1,000 for the span of two years, small loans issued from AZN 1,000 to AZN 20,000, medium loans from AZN 20,000 to AZN 50,000 for three-year terms, and big loans from AZN 50,000 to AZN 200,000 for five years.