News
Show news feed

YEREVAN. - It's better to start the agricultural insurance with non-expensive certificates for expenses and not harvest.

The Executive Director of Armenia's ACBA Credit Agricole Bank, Hakob Andreasyan, told the aforementioned to Armenian News - NEWS.am.

The insurance will apparently reduce the risks of non-payment of agrarian loans, but it shoudn't make the harvest and derivative products too expensive. ''There are two types of insurance here: harvest and expenses. Insuring the harvest is very expensive; this should be taken into account. But insuring the expenses might prove to be cheaper by certain percentage ratio. Non-expensive certificates of insurance should first be offered so that the farmers can get used to it,'' Andreasyan noted.

The French Credit Agricole concern, one of ACBA's shareholders, includes three insurance companies, one of which insures business, including the agrarian one.  ''We are ready to share the experience of our French partners when dicussing the loan policy of the agricultural sector,'' Andreasyan assured.  

In his words, in addition to the aforesaid, it is necessary to consider that it will be easier for the insurers if at least certain protective infrastructure is already in place, for instance anti-hail systems in orchards.

The bank is the largest agricultural loan provider in Armenia. By the end of the second quarter of 2016, the portfolio of the bank's agricultural loans amounted to 75.2 bln AMD (approx. $158 mln). 

!
This text available in   Հայերեն and Русский
Print
Read more:
All