OREANDA-NEWS  On 25 February was announced, that during the congress of Association of Farms and Agricultural Cooperatives of Russia (AKKOR) Chairman of the Management Board and CEO of Russian Agricultural Bank Yuri V. Trushin reported that in 2008 the Bank extended loans to the total amount exceeding RUR 334 billion – an increase by one third, as compared to 2007.

At the beginning of January 2009 RAB’s loan portfolio reached RUR 466 billion and has increased by 60% in 2008. 80% of loans were extended to agribusiness.

One of the priorities of RAB’s lending policy is credit and financial support of SMEs. Thus, in 2007 farmers were granted over 6 thousand loans to the amount of RUR 13.4 billion, in 2008 – 7.2 thousand loans to the amount of RUR 16.7 billion. Today, every seventh farm obtains loans in RAB.

During 2008 RAB concluded 127 thousand loan agreements to the total amount of RUR 20 billion with personal household plots owners. In January 2009 RAB has already extended loans totaling RUR 500 million to farmers.

In the current situation RAB is focused on providing agribusiness producers and rural population with available credit and financial resources. The Bank will adhere to its lending policy throughout 2009.

RAB will continue to implement the Federal Program on Agribusiness Development 2008-2012, which includes the following priorities: additional funding of long-term projects in animal breeding, financing of grain purchase and commodity interventions as part of the price stabilization program of the State, support of SMEs, including farmers and personal household plots owners.

In 2009 RAB plans to extend loans totaling RUR 400 billion. Thus, by YE2009 RAB’s loan portfolio is expected to reach RUR 600 billion.

Besides, the Bank will continue to develop its extensive regional branch network and 158 new additional offices will be opened throughout the country to ensure large-scale credit support to all agribusiness entities and the whole rural population. At present, RAB operates the second largest regional branch network in the Russian Federation, including 78 regional branches and over 1,400 additional offices.