This measure will support farmers amid the spread of COVID-19
Agricultural firms which have signed agreements on boosting their competitiveness will continue to receive low-interest loans even if they fail to meet their obligations for exporting agricultural products in 2020. The relevant resolution was adopted by the Government.
Agreements on increasing competitiveness are among the tools provided for under the federal project Export of Agricultural Products. They make soft loans available to agribusinesses in exchange for their commitment to increase the export of agricultural products.
According to the soft loans terms, if an agricultural firm falls short of the performance indicators specified in the agreement, the bank will change the reduced interest rate on the loan to the commercial rate. Due to changes in the state subsidies mechanism, this rule will be suspended in 2020.
This measure aims to support agribusinesses, which are sustaining losses due to the spread of the novel coronavirus infection.