Farmers in Kyrgyzstan are being offered breeding livestock on credit at 3 per cent per annum

Farmers in Kyrgyzstan can purchase Aberdeen-Angus breeding cattle using a preferential loan at 3 per cent per annum.

The financing is provided by ‘ABank’ and ‘Eldik Bank’. The loan term is up to 5 years, with a grace period of up to 12 months.

Small-scale farms are eligible for unsecured loans of up to 500,000 KGS. For loans ranging from 500,000 to 20 million KGS, the loan is secured.

To purchase breeding stock, farmers must provide documents confirming the animals’ origin and condition. These include a breeding certificate, a veterinary certificate and identification documents.

However, having the status of a breeding farm is not a mandatory requirement for obtaining financing. The main requirement is that the farmer has the necessary facilities for keeping and feeding the animals, a quarantine area and access to veterinary services.

Once the loan has been approved by the bank, the farmer enters into a contract with OJSC ‘Kyrgyz Agroholding’, after which they are able to purchase Aberdeen-Angus pedigree cattle.
Thus, the programme enables farmers to secure long-term financing at a preferential rate to renew and improve their livestock herds without being required to obtain breeding farm status.