In 2017, the banks financed farmers to 115 billion UAH
In 2017, Ukrainian banks provided farmers with loans totaling 115 billion UAH. In particular, the financing of small and medium-sized businesses, according to experts, has increased by 70%.
small Credit portfolios of Ukrainian banks consist of 40% of loans to farmers.
Most financial institutions prefer farms cultivating 500-10 thousand hectares of land. However, they do not know how to write a business plan and to prepare the necessary documents. In this respect, with average households work easier as they have some experience and can hire the required specialists. unfortunately, managers of banks are not able to teach manufacturers to prepare the documents, although they can help with advice.
Relevant trainings and seminars carried out and international projects, in particular, the international Finance Corporation, but that's not all the bankers.
Loans from manufacturers of crop protection products, seeds and agricultural equipment is an additional source of funding, accounting for more than half of the loans to the agricultural sector. Such companies have information about the borrowers therefore make decisions quickly, even during the day, and the interest rate for regular customers can be below 10%.