The Altai region is witnessing significant growth in agricultural financing, with Rosselkhozbank (RSHB) stepping up its support just as farmers prepare for the 2025 planting season. This year, the bank has increased its lending by 42%, reaching over 3.3 billion rubles, up from last year’s figures by more than 1 billion rubles, according to recent statements.
This surge is primarily due to the bank's initiative to provide loans at preferential rates, with 81% of the loans being offered at reduced interest rates. Nikolai Boyko, the director of the Altai branch of RSHB, emphasizes the importance of maintaining this support for agricultural producers, especially as they navigate challenges exacerbated by high inflation and other economic pressures.
"Today, the investment activity of agricultural producers has decreased. This is clearly linked to the prices of their products and the high Central Bank rates, but if we stop investing now, it will be even harder tomorrow," Boyko stated. He added, "We are offering various programs and projects to support farmers, but the current market response has been tepid, meaning we have to intensify our collaboration with them. There is definitely latent demand forming, which we must be ready to meet when it resurfaces."
Farmers like Anatoly Ivanov, from the Kosikhinsky district, are already seeing the benefits of RSHB's financial support. He shared how last year's timely acquisition of farming equipment through RSHB loans allowed him to successfully manage his crops under challenging weather conditions. "We had good yields last year, and we are ready for the new planting season. We have stocked up on fertilizers and seeds, so overall, we are prepared for sowing," Ivanov mentioned.
The unique conditions of the Altai region, characterized by unpredictable weather patterns, have necessitated such financial support. RSHB's proactive approach not only addresses the immediate monetary requirements of farmers but also reassures them of the bank's commitment to their long-term sustainability. With its specialized agricultural programs, the bank is framing itself as more than just a financial institution—it aims to be a reliable partner for the agricultural community.
Support from RSHB is viewed as pivotal at this time when clarity and reassurance are needed. Nikita Kozhanov, chairman of the Union of Agricultural Producers of the Altai Territory, mentioned, "This winter proved how responsible RSHB is not only to their clients but also to the entire agricultural sector and the country. They understood the challenges we face and have not wavered in their support for our spring planting efforts."
Farmers are currently finalizing their preparations for seasonal activities, engaging and exchanging insights at numerous agricultural conferences and exhibitions taking place across the region. This environment fosters collaboration, with farmers contemplating the introduction of new crop varieties and production techniques.
Meanwhile, RSHB is maintaining its efforts to provide mentorship and guidance through its services. The creation of the bank's 'hotline' allows producers to quickly address their questions and concerns about financial support for upcoming seasonal activities. "We recognize the urgency of the situation for farmers. Our hotline offers immediate assistance, which is necessary as farmers finalize their operational plans for the planting season," added Boyko.
Considering the volatility of farming, every ounce of support becomes invaluable. The agricultural sector’s dependence on factors such as weather, market fluctuations, and health regulations makes timely financial support from banks like RSHB necessary for ensuring farm viability. This is especially heightened during periods of economic uncertainty.
Farmers across the Altai region are aware of the growing costs associated with farming and the need to innovate continually. Michaël Geronimus, from the machinery company ASM-Altai, remarked, “The demand for equipment can fluctuate based on economic conditions, but RSHB’s flexibility with financing options makes it easier for us as producers to acquire the necessary tools to improve our yields."
The bank's programs showcase a balancing act between keeping credit flowing and managing risk. RSHB’s efforts to offer loans with favorable conditions and terms significantly impact how agricultural producers navigate financing challenges. The strong influx of funding is not only available for immediate needs but is also structured to encourage sustainable growth within the sector.
This fiscal generosity from RSHB reflects the broader objectives of ensuring food security and agricultural independence for the country. By enabling farmers to access the necessary resources even amid financial constraints, RSHB is playing its part as the government’s primary ally dedicated to boosting the agricultural potential. Farmers are preparing for what they hope will be a successful 2025 growing season, and many attribute their optimism to the support received from the bank.
Through these initiatives, Rosselkhozbank is declaring its commitment—both to the farmers and the enduring success of the agricultural industry across the Altai region. Continuous partnerships, innovative financing solutions, and unwavering support set the stage for restoring confidence among agricultural producers, which is especially meaningful against the backdrop of recent economic difficulties.