The Minister explained how the system of financing farmers will change

The Minister explained how the system of financing farmers will change

The Minister of Agriculture, Aidarbek Saparov, spoke at a briefing at the Central Communications Service, where he explained changes in the system of subsidizing and crediting farmers, reports World of NAN.

According to the minister, due to shortage of borrowed funds, farms have not used enough fertilizers, plant protection products and operate on outdated machinery, resulting in low efficiency.

"To address the root problem, a lot of work will be done this year to attract finance to the industry. And it implies not only budget funds, but also other sources, including the capitals of second-tier banks. As a result, 1.5 trillion annually should be allocated to meet the need for concessional lending for SFWs and harvesting operations. 450 billion should be allocated for preferential leasing of agricultural machinery," Saparov said.

It is also planned to allocate 800 billion tenge annually to finance investment projects. Sources of financing are being worked out by the Agriculture Department.

In addition to increasing the financing budget, the subsidy system will change.

"Subsidies will be paid directly to domestic producers of fertilizers, machinery, etc. This will prevent contact with subsidies. There will also be a fixed rate on loans. We are working with Baiterek Holding to combine soft loan and farmer subsidy services on one digital platform. As a result, we plan to directly transfer subsidies to ACC so that the lending rate for farmers will always remain favorable and will not change when subsidies are delayed," the Minister explained.

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