NBM Can Grant Preferential Credit to Farmers
OREANDA-NEWS. August 11, 2014. During the press-conference the President of the National Bank reported that the NBM has not received proposals, which the representatives of canning plants announced this week (on granting loans for 5 years at a preferential interest rate).
He noted that he would like to know more precise formulation of this proposal. "I would like to see a reasonable project, with precise estimation and the calculation of technical possibilities and conditions for funding. We are open to the discussion, but I would like to know more specifically, the sense of it," said Dragutanu. At the same time, he called upon all the participants of agro-food market not to distort the issue. "Why do they need concessional loan for 5 years and not for three or for one? We are talking about working capital that is needed by the factories in 12 or 18 months. They will concentrate and sell it", - noted the President of NBM. Answering the questions of journalists about the claims of wineries to banks relatively tight lending conditions, Dorin Dragutanu has supported banking institutions. "Banks are also economic agents.
They provide loans on the funds of the depositors and want to return this money. The wine-making enterprises have risks as well as all other economic agents. Now is the moment when wine is again subject for the embargo although the ban-2006 was much more tangible. But in the present conditions, with all due respect to the winemakers, priority problem is problem of producers and processors of fruits and vegetables, which has lost the Russian market. It's business for at USD150-190 million," said Dragutanu. The NBM President said that for many exporters current situation is a shock. But in the medium and long term the economy is adjusting to situation, together with the change in the structure and geography of exports.
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