Borrowed Crops Are in the Ground, Future Uncertain: 3 Billion Loan for Sector Representatives - 'Joghourd'

'Joghourd' newspaper reports: According to information from the 'Joghourd' newspaper, in January 2024, the total value of loans, deposits, factoring, leasing, and repo agreements granted to resident banks under the supervision of the Central Bank of the Republic of Armenia amounted to 3 billion 353 million AMD. In a single month, 3 billion AMD was allocated for agriculture, forestry, and fishing sectors, as well as for forestry and timber processing, mining industry and open-pit exploitation, manufacturing, electricity, gas, steam, and quality air supply services, among others.

As spring agricultural works commence, the threshold for loans for agriculture and horticulture sharply increases. For instance, in May 2023, it constituted 194 million 674 thousand AMD. According to the Central Bank, for the development of horticulture, a loan of 37 million AMD was approved in January 2024, while for livestock development, it was 3 million 901 thousand AMD.

The government initiates new projects to develop agriculture every year; however, farmers face increasingly serious problems annually. By the end of the year, a wall of stagnation forms for farmers, and crops rot in warehouses due to insufficient sales, without receiving any response from the government.

Not far back, we recall that about a month ago, farmers blocking the Martuni-Yerevan highway complained that potatoes were not being marketed properly in Armenia, blaming the authorities for allowing large players to import potatoes into Armenia, disregarding the domestic market. The oligarchs at the 'heart' of power have taken the side of farmers to advance their business.

Nonetheless, the crops planted with loans and hope are in the ground, yet the future of the harvest outside the soil remains uncertain—either it will rot or be sold as animal feed. The authorities did not respond to the complaints of the Martuni residents, although the governor promised the farmers, according to their statements. As with any state-led initiative, the government displays overt indifference in this case as well.