"The Hungarian Agrarian Bank may come into existence within the foreseeable future as a result of the decision brought at the Government's Wednesday session" – Minister for Rural Development Sándor Fazekas told the MTI following the cabinet meeting.
According to the Government's decision, the Ministry of Rural Development and the Ministry of National Economy has until April 30 to present the Government with the concept, calling for the establishment of the so-called green bank, the role of which is to provide resources for agricultural, forestry, conservation and environmental projects, and to finance the sector's businesses.
Sándor Fazekas indicated, "No decision has yet been brought on the bank's concrete founders and registered capital. These will be decided once the concept has been elaborated." He however stated that the resource budget of the Agrarian Bank would be several tens of billions of Hungarian forints.
Sándor Fazekas also mentioned the fact that the planned Agrarian Bank would pay special attention to supporting family farms and young farmers. The Ministry has concepts already prepared with regard to this, because preliminary social debate on the subject has already provided the Ministry with many of the necessary ideas such as support and preferential loan structures.
The Minister stressed, "The Agrarian Bank will have a much closer relationship with the sector than other banks, which have varied portfolios and are also active in other areas."
(MTI)