The state has taken care of transparent loan terms for Armenian farmers. Pavel Safaryan, Armenia's First Deputy Minister of Finance, told the aforementioned to Armenian News – NEWS.am correspondent, referring to the amendments to the Law on Consumer Credits for Farmers, adopted by the parliament in late December.  

Now the banks must show the actual interest rate in the amount of up to 2 million drams (approx. $4,15) in both consumer (as before, regardless of the amount) and farmer loan agreements.

Individual farmers are like buyers of washing machines and refrigerators: they don't always study in detail the loan terms. Most often they pay attention only to the nominal interest rate, when the real one can be 2-2,5 times higher, considering the type of extinguishment and payments for service.    

“We want to protect them as we do the consumers. Hence, the threshold of 2 million drams has been fixed, which is the level of individual farmers and not teh agrarian business. Business can itself make an informed choice,” Safaryan said.