On 21 February 2025, an important agricultural event organised by the Agricultural Credit Guarantee Fund took place. This meeting was a significant step in the development of Ukraine's agricultural sector, as it helps farmers receive financial support to develop their farms and expand their businesses. The event became an important platform for discussing topical issues of financing agricultural enterprises and providing access to finance through specialised instruments.

Mykhailo Lazarenko, Head of the Podil District Military Administration, delivered a welcoming speech at the event. In his speech, he noted:

"The importance of such meetings cannot be overestimated. In the context of constant changes taking place in our country, agricultural sector has not only economic but also strategic importance for ensuring Ukraine's food security. It is important that our farmers have access to financing and innovative solutions for development, and this fund is one of those opportunities that give a chance for sustainable agricultural development even in the most difficult conditions."

The next speaker was Volodymyr Geraimovych, a leading expert at AgriAnalytics, who presented information on the activities of the Partial Credit Guarantee Fund in agriculture. Volodymyr spoke in detail about the benefits of the fund, its support mechanisms for farmers, as well as the prospects and opportunities that are opening up for farmers. In his comments, he emphasised:

"Agrarians have huge potential, but in order to realise it, they need access to finance. The Partial Loan Guarantee Fund gives them real opportunities to raise funds for production development, modernisation and expansion of their farms. I am confident that this instrument will become an important part of Ukraine's agricultural ecosystem."

Equally important was the speech of Alla Stoyanova, Head of the Agrarian Odesa Oblast Council's deputy group and Head of the Board of the NGO Agrarians of Odesa Oblast. She drew attention to the importance of using grant programmes for agricultural producers, emphasising that such initiatives help to develop the agricultural sector and reduce financial risks for farmers:

"Grant programmes are a real chance for farmers to make important investments without heavy financial burdens. They create additional opportunities for development, innovation and competitiveness. Our farmers should have access to these tools to create modern, efficient and sustainable agricultural businesses. I am confident that cooperation with such funds is the right step towards the future of our agricultural sector."

Which loans can receive a partial guarantee from the Partial Guarantee Fund for Agricultural Loans?

The Partial Guarantee Fund for Agricultural Loans provides support to agricultural enterprises by providing partial loan guarantees. This opens up additional opportunities for farmers to finance their projects, especially in conditions of limited access to traditional financial instruments.

Purpose of partially guaranteed loans

The Fund provides partial guarantees for loans that have a specific purpose. These may include:

1. Investment loans for the purchase of fixed assets, modernisation of production or acquisition of agricultural land.
2. Working capital loans, which allow businesses to maintain their current operations, purchase necessary inputs, or cover seasonal expenses.

Credit conditions and guarantees

1. The maximum loan amount is up to UAH 30 million, which allows agricultural enterprises to attract significant financial resources for the development or replenishment of working capital.
2. The maximum loan term is up to 10 years, which allows businesses to be more flexible in planning their financial flows and reduces pressure on short-term liquidity.
3. The amount of the portfolio guarantee is up to 50% of the principal loan obligation. This significantly reduces the risks for financial institutions, enabling them to provide loans even to businesses that do not have significant assets or their own guarantees.
4. The partial guarantee also applies to loans under the "Affordable Loans 5-7-9%" programme, which further facilitates access to finance for farmers.

Who can use the Fund's guarantee?

A partial guarantee is available to businesses that meet certain criteria. Here are the main ones:

1. Registration in the State Agrarian Register (SAR). This makes it possible to recognise the company as a participant in the agricultural sector that is eligible for state support.
2. The main activity is the production of agricultural products. The Fund supports agricultural enterprises engaged in crops, livestock and other types of agricultural production.
3. The annual revenue of the enterprise does not exceed EUR 40 million. This restriction makes it possible to support mainly small and medium-sized agricultural enterprises.
4. The book value of the company's assets does not exceed EUR 20 million, which is also aimed at medium and small businesses.
5. The average number of employees is no more than 250. This makes it possible to provide support to those enterprises that meet the category of small and medium-sized businesses.
6. Enterprises must be owners or users of no more than 500 hectares of agricultural land.
7. In addition, they must comply with the environmental and social requirements of Ukrainian legislation, as well as the environmental and social requirements of the World Bank.

Thus, the Partial Guarantee Fund for Agricultural Loans provides significant financial support to agricultural enterprises that meet the requirements for development and sustainable business. Thanks to these instruments, farmers can access the necessary finance, develop their farms and strengthen the country's economy.

The meeting was particularly important for the panel discussion, which allowed participants to ask questions to the speakers and receive professional advice from experts. The panel discussion was a platform for an open exchange of views and ideas, where representatives of partner banks also shared their experience in financing agricultural enterprises.

Such events are undoubtedly of great importance for farmers, as they provide an opportunity not only to learn about new financial instruments but also to discuss the most pressing issues of agricultural sector development with leading experts. They are powerful platforms for interaction between government agencies, financial institutions and agricultural producers, which helps to create favourable conditions for the sustainable development of the agricultural economy.

These initiatives provide farmers with new opportunities for growth and development of their farms, which helps to strengthen the country's food security and support the economy as a whole.

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