YEREVAN, April 7. /ARKA/. Total portfolio of low rate  crediting of agriculture will be about 6-10 billion drams in Armenia, said Armenian Finance Minister Vache Gabrielyan in the government meeting.

“By preliminary assessments, we can provide credits up to billion of drams. In case it is necessary, this amount can increase”, he said.

Upon the demand of the farmers the government is ready to increase the size of subsidies from the reserve fund. It is planned to allocate 250 million drams for this purpose.

From April 1 three Armenian banks – ACBA Credit Agricole Bank, Conversebank and Ardshininvestbank started to provide credits. The results can be seen at the end of the month.

“Implementation of this program will promote the development of this sphere. Credit resources will be available for the farmers and vulnerable families of the regions”, he said. Credits are provided for one year in the amount of 2-3 million with low percent rate and redemption date  of minimum six months.

The second component of the program is the provision of credits to over 200 communities in need, where the State bears 6% subsidization of percent rate.

According to the data of  CB Armenia, in December 2010 average percent rate of agricultural credits for one year was 23.4%, from 1-5 years –21.9%. Agricultural credits in foreign currency were provided by percent rate of 15% annually for one year and from 1-5 years – 18.3%. ($1 – 371.38 drams).  --0--