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    Uzbekistan

    Uzbekistan agricultural projects: loans extended to 15 years with 3-year grace period

    Uzbekistan agricultural projects: loans extended to 15 years with 3-year grace period

    At the meeting chaired by the president on November 9, it was shown that the funds attracted to agriculture from international financial organizations are not being used in full.

    Photo: Presidential press service

    Efforts are underway to tackle the underutilization of international funds earmarked for agriculture, with significant reforms aimed at simplifying processes and boosting entrepreneur interest. Recognizing key challenges, the reforms target mismatches in loan durations, prolonged review periods, and limited fund directions.

    To address the discrepancy in loan durations, a crucial reform proposes extending the repayment period for agricultural projects to 15 years, including a 3-year grace period. This adjustment aligns with the initial funding duration and offers entrepreneurs a more sustainable repayment timeframe.

    Additionally, the reform addresses delays in project review periods by streamlining the process to a more efficient 2 months. This not only accelerates fund allocation but also enhances the agility of supporting agricultural projects.

    Flexible fund allocation is another focus, directing free funds specifically to food projects, laboratories, and equipment. This targeted approach aims to make fund utilization more attractive to entrepreneurs while ensuring alignment with the sector's critical needs.

    To oversee these changes, the Ministry of Agriculture will establish an Internal Audit Service, tasked with monitoring fund usage, overseeing budget allocation, and ensuring compliance within the banking sector.

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    09.11.2023, 21:15   Comments (0)   1450
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