Ukio Bankas Will Continue Farmer Crediting under Favorable Terms
OREANDA-NEWS. January 13, 2011. Ukio bankas has won the third tender for objective loans for finance engineering measures “Modernization of Agricultural Holdings – support by credits” and “Processing of Agricultural Products and Increasing of Added Value – support by credits” financing. Credits are granted through Ukio bankas cooperation with the Credit Fund set up by the Lithuanian Ministry of Agriculture. Almost EUR 2.45 million will be allocated to the credits granted from the Fund by Ukio bankas.
„Last year farmers were especially active taking credits for their activity development thereby we suppose that it will be good news for our present and future clients who will have an opportunity to continue development of their farms making use of advantages of preferential credits,” - said Mindaugas Pasvenskas, Head of Ukio bankas Credit Service Unit.
The funds are lent for agricultural holdings modernization. i. e. new and modern equipment, technique, manufacture buildings construction and reconstruction – i. e. the objects that would make the work of farmers easier and increase its efficiency.
Farmers or companies may be granted credits starting from EUR 3,000 at Ukio bankas. Maximum term of a credit – 7 years, milk cooperation – up to 10 years. Interest rate for credits proposed to farmers amount to 4-6 percent.
According to M. Pasvenskas, farmers and agricultural companies were among the most successful surviving in this hardship period hence there is hope that the credits will be used actively for the further development of the farms. Within January – November 2010, agreements concluded between Ukio bankas and agricultural entities amounted to LTL 24.2 million and almost five times exceeded amount of agreements concluded within the same period of 2009.