FINANCING AGRIBUSINESS BY STATE DEVELOPMENT BANKS - THE CASE OF MACEDONIA

Journal of Governance and Regulation

Goran Kovachev¹ 

关键词: Sustainable Agro-Finance;    Agriculture;    Risky;    Economic Welfare;    Rural Development;    State Development Banks;    Agribusiness;    Direct Lending;    Indirect Lending;   

DOI  :  10.22495/jgr_v2_i3_c1_p3

学科分类：社会科学、人文和艺术（综合）

来源: Virtus Interpress

【 摘 要 】

In countries where agriculture has substantial role in generating domestic product, sustainable agro-finance can seriously increase economic development. It is well known that agriculture is perceived as risky to be financed by commercial banks. Therefore, creating specific agro-credit lines within state development banks is key element in enhancing agricultural activities. These state development banks, operating in close collaboration with the Government have a significant role in accelerating economic welfare of farmers and rural poor. This study tends to emphasize the importance of creating special lending products targeted towards agriculture. The focus will be put on comparison between the first pillar – direct lending to agriculture and second pillar – lending to agriculture through commercial banks showing the better viability of the later.

【 授权许可】

CC BY-NC