The volume of projects financed by the Agricultural Credit Institution amounted to 34 million dinars from the beginning of the current year until mid-June and in various fields of agricultural investment, an increase of about 10.5 million dinars compared to the same period last year, which amounted to 23.5 million dinars.
In an interview with Al-Rai, the Director-General of the Foundation, Eng. Mohamed Al-Hayari, said that 6542 beneficiaries benefited from agricultural projects.
He attributed this increase to "high demand for loans, especially interest-free subsidies."
He pointed out that JD 9.7 million of the total lending was provided for the project to support protected and irrigated crops, palm plantations, grapes, plastic houses, equipment and irrigation systems in the various irrigated areas in the Kingdom.
He pointed out that the lending of 4.8 million dinars for the project to support feed for livestock farmers (sheep) without interest, and the government has borne the value of these benefits in support of sheep breeders.
As for the Islamic Murabaha system, he pointed out that JD7.5 million had been provided to some 1,200 farmers financed by the Islamic Murabaha in the institution out of total lending for the same period of this year.
Small loans
Al-Hayari presented the project of "micro-loans" to reduce the problems of poverty and unemployment, and he provided 4.7 million dinars out of the total amount allocated to this project of 8 million dinars, benefiting about 1000 unemployed young men and women, in addition to projects directed to the category Farmers and the unemployed "with reduced or preferential interest rates or Murabaha, such as the Commission's projects for military casualties, agricultural engineers, health villages and other projects such as sheep and cattle breeding.
He explained that the number of female borrowers from the institution amounted to 1,400 women loans of 7 million dinars, and 20% of the total loans.
Rural and Badia Financing Project
Al-Hayari presented the projects of «rural finance», pointing out that they are projects dedicated to job seekers and projects that have a close relationship with the agricultural sector in rural areas and Badia, such as «epics and shops selling poultry and dairy factories and production kitchen for rural girls».
He pointed out that he provided 1.7 million dinars, benefiting 320 borrowers in rural areas.
He explained that the loans, which included the areas of the North, South and Central Badia across the Kingdom amounted to 4.7 million dinars, or about 1000 borrowers.
No bad debts
He pointed out that the institution has no "bad debts", but there are "bad debts". He stressed that the value of the fund's receipts to date amounted to 18.5 million dinars and expected to reach 40 million dinars at the end of the year.
On the farmer who can not repay the loan, Al-Hayari said that if the delay was due to marketing or climatic conditions, "we take this into consideration through settlements with the branch manager in the area where the project is located."
He pointed out that there are people «slow in payment, and here the institution is related to the borrower to identify the reasons and if the convincing deferred payment or schedule (...) In case not paid the amount resort to the legal procedures to save public money».
Numbers of borrowers
As for the number of borrowers, the number of borrowers "less than 10 thousand dinars is 5800 and the value of 24 million dinars and about two thirds of the value of loans. And that five thousand of them the value of each loan less than five thousand dinars.
As for the borrowers between 10 thousand and 50 thousand dinars, the number 700 and the value of 8.9 million and 29% of the total loans.
And more than 50 thousand dinars, amounting to 6 borrowers and a total of half a million dinars and their rate of 1.3%
Al-Hayari explained that the person who provides an agricultural loan from the institution "is sure that the loan will go to agricultural projects." He pointed out that the loan "is disbursed in several installments ... The project is disclosed before the loan is given to study the project's suitability, Borrower ».
The project "has several stages, including the pre-grant phase and the stage during the loan where there is a department called the Central Control Department, the samples are checked for all projects and inspected in the field to ensure the accuracy and accuracy of implementation stages to ensure the implementation of the main goals of the project in general.
Al-Hayari pointed out that the government supports the institution, as it allocated 20 million dinars without interest, of which 14.5 million were disbursed. He pointed out that the government had incurred «the cost of the value of the interest of 2.2 million dinars on behalf of farmers».
The other projects, according to Hiyari, «reduced .. especially projects in which the consumption of water and energy, and these projects grant loans with low interest rates and the installment of loans and schedule in exceptional circumstances»
The loans are distributed according to the objectives distributed, as the total loans are distributed to the projects of reconstruction and exploitation of agricultural land, development and development of animal production, development and development of water resources and the use of modern technologies and industrialization and marketing projects, purchase of equipment and projects of animal and plant supplies and rural finance program.
