October 16, 2007

Russia to invest US$2 billion in low interest loans to fishery sector next year

The Russian government would be subsidising loans to fisheries from January 1 next year, the Head of Rosrybolovstvo (Ministry of Agriculture) Andrei Krainy reported at the meeting with the representatives of fish industry in Khabarovsk.

The ministry has signed an agreement with Rosselkhozbank (Russian Agricultural Bank)  granting 50 billion Rubles ( US$2 billion) a year for development of the country's fish industry, The Vladivostok Times quoted Krainy as saying.

The bank will grant loans to fishermen at 12 percent a year, Andrei Krainy said.

The government would subsidise 8 percent of the interest both for fish farms and fishermen, with the remaining four percent to be paid by the individual loan takers.

The four-percent is less than that in the EU and US, he said.