Russian farmers will need 10 trillion rubles ($313 billion) in loans for agriculture to 2020, Agriculture Minister Nikolai Fedorov said.
The forecast includes 5.2 trillion rubles for livestock and 1.7 trillion rubles for grains and other crops, Fedorov said today at a meeting in Moscow with Russian Agricultural Bank, the state lender to the farming industry. The government aims to boost grain production to 115 million metric tons by 2020, compared with last year’s 94.2 million tons.
The projected lending includes only subsidized loans supported by the state, according to Fedorov. Farmers may have to borrow trillions of rubles privately in addition, he said. The ministry and the bank today signed a cooperation accord intended to spur lending for farming.
The bank is aiming for a share of “at least” half of subsidized loans for agriculture, implying it plans to lend at least 5 trillion rubles to farmers by 2020, Chairman Dmitry Patrushev said at a briefing. The bank’s current credit portfolio comes to more than 1 trillion rubles, he said.
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