Newsfeed

Armenian President: Armenian-Georgian relations are on all-time high level

Special offer for Orange Internet subscribers

Armenia's Defense Ministry Spokesperson denies Azerbaijan's reports on exchange of captives

Russian political expert is skeptical of Azeri-Turkish-Georgian plan to form a military alliance

Armenian Government to cut its passenger traffic subsidies to South Caucasus Railway

Armenia and Georgia to build a bridge of friendship between Bagratashen and Sadakhlo

Armenia to build a farm to breed Sevan trout

Georgia conducts active measures to eliminate consequences of landslide on Georgian Military Highway

The Prime Minister of Georgia was presented the 40-Year Old Armenian Brandy

Prime Minister of Georgia arrives in Yerevan

Natali Pharm Company to be licensed to import narcotic and psychotropic substances to Armenia

Sports and Concerts Facility after K. Demirchyan to be signed off to Defense Ministry of Armenia for debts

Azerbaijan breached ceasefire on the Line of Contact nearly 40 times over the last two days

Ruben Melkonyan: It is too early to speak about Ankara-Tbilisi-Baku axis

Aziz Tamoyan: 200 Yezidi families from Iraq will settle in Artsakh

Hovik Abrahamyan calls for taking his statements the right way

Beeline offers Let's Talk service to corporate customers

VTB Bank (Armenia) starts providing "diamond" lombard loans

Developing military cooperation among Georgia, Turkey and Azerbaijan is not dangerous for Armenia: Armenian Deputy DM

Armenian man who fired at Turkish Embassy emblem in Russia to wait for court verdict under arrest

Orange begins “Smartphonization of Armenia”: bring your old phone and get a new smartphone at half price

U.S. Ambassador to Armenia addresses parties to Karabakh conflict in Armenian

Economist: Vorotan Cascade of HPPs must remain under state management

NKR Defense Army Commander: Baku blackmailing OSCE Minsk Group

Investigation Committee: Karen Petrosyan might be abducted from Armenia's territory

Manvel Grigoryan: In case of war in Artsakh, the boys of oligarchs and statesmen will also be fighting

No single Iraqi Yazidi has so far applied to Armenia for refuge

VTB Bank (Armenia) prolongs working time at some of its branches

Beeline grants its customers 1,000 intra-network minutes or 1,000MW Internet traffic on their birthdays

Paruyr Hayrikian to embark on hunger strike on 8 September

Aziz Tamoyan: Yazidis are killed on the same scenario as Armenians in 1915

Hovik Abrahamyan: I cannot wave a magic wand to bring everyone out of the shadow

Nikol Pashinyan urges Parliament to provide privileges to residents of near border Armenian communities

Roman Pope to serve liturgy timed to Armenian Genocide centennial

Washington refuses to sell Cougar military vehicles to Baku

Exclusive

Zardusht Alizadeh: Arriving in Sochi, Aliyev and Sargsyan once again demonstrated the world that Russia is still the demiurge in the Caucasus

Masis Mailyan: Unlike Azerbaijan, global centers of force are not interested in growing tensions in Nagorno-Karabakh conflict zone

Sergey Grinyayev:The West’s sanctions are extremely positive for the Eurasian Union project

Alexey Kolomiyets: West's sanction will hardly sober Putin and the Kremlin

Hrant Bagratyan: Sanctions will have tangible impact on Armenia

Georgi Kolarov: The second Nagorno-Karabakh war is inevitable

Artashes Shaboyan: Reduction in consumer demand has a negative effect on supermarkets

Tigran Davtyan: If you have a telephone with you, it means that you have a wallet with you too

Shmuel Meirom: Israel is willing to contribute of its experience in the field of economy, but it cannot force Israeli business to invest in Armenia

Marine Karapetyan: Ameriabank on large business: problems and solutions

Eduard Sharmazanov: The opposition camp has no leader to steer the people

Alexander Zinker: Readiness of the Kremlin to protect its “Big Russian world” is dangerous for Russia itself

Vahe Davtyan: lternative power engineering should be developed regardless of fluctuations in electric power tariffs

Alexander Krylov: Taking into consideration the experience of the EU, Russia has to refuse maximal extension of the Eurasian Economic Union

Rasim Musabekov: Not only global but also the regional geo-political balance is changing

Zardusht Alizade: Apart, Armenia and Azerbaijan will always remain non-democratic fascist states

Head of Agrarian-Peasant Union of Armenia blames banking system for ruining villagers

  • by Gayane Isahakyan

  • Friday, May 30, 17:30

 The banking system of Armenia has led the Armenian villagers to ruin, Head of the Agrarian-Peasant Union of Armenia Hrachya Berberyan said at a press conference in Yerevan. 

"By my calculations, over the period of independence, Armenia has received from international structures almost 50 mln USD loans for various agrarian purposes", said Berberyan. He has no idea of how and how effectively those funds have been used. "The loans were provided to the banks at a low interest rate. For instance, the World Bank provided the Government of Armenia with loans at LIBOR 0.5-0.75%, and the latter provided the loans to the banks at 7% p.a. The banks, in turn, lent the money to the villagers at 24%- 30% p.a.", he said. 

"As a result, the villagers owe big funds to the banks now. I think a special commission must immediately be set up to find out whether the banks properly used the credit facilities meant for agriculture or not", said Berberyan. He recalled that the Credit Yerevan Bank, for instance, borrowed money from the World Bank for development of the agrarian sector and God knows how it spent the money. Another example of Berberyan concerned the state program subsidizing the agriculture loan rates. "The Government provides preferential loans to the farm entities, but in Shirak region only 40 farmers have received loans. Today farmers badly need loans, but the banks fail to satisfy the villagers' needs and agree to lend them at high rates - no lower than 18-20%. Cheap loans are extremely limited today", he said. 

He also added that besides suffering of the credits, rural people have also suffered of frost and hail. "Incidentally, the losses of the agriculture facilities because of hail grow parallel to the growth of the anti-hail stations at the territory of the country. The agriculture sector needs immediate radical reforms.  First, not functionaries should create agriculture cooperatives but the farmers themselves. Secondly, state functionaries have to draw out the law "On producers of agriculture production". The next, it is necessary to fully upgrade the irrigation system. Moreover, the anti-hail services should become more responsible for the losses of the agriculture facilities because of hail.  We also need the net anti-hail system similar to the one functioning in the European countries. And finally, the rates of the banking agro credits should be decreased and the terms of their repayment increased up to  15 years", - Berberyan said.

Send to a friend

To (e-mail)


Your name


Message


Comments

View comments (0)
  • READ ALL COMMENTS
  • POST A COMMENT

Be first to comment on this article

* Indicates required fields