Agricultural crediting needs a considerable increase, with lower interest rates to be set, Gagik Minasyan (Republican Party of Armenia-RPA), Chairman of the Standing Committee on Financial-Credit and Budgetary Affairs, Parliament of Armenia, told journalists on April 1.

The interest rate on agricultural credits must be within 14%, with 4% to be subsidized by the Government. “The program must be launched in the poorest communities and gradually involve other communities. The 4% subsidies will relieve farmers’ problems, and they will produce more goods at more reasonable prices,” Minasyan said.

This year farmers will receive loans in terms of Armenian drams. “To subsidize the 4% the Government has allocated 200 million AMD, and the new loans – 10% plus 4% - will be issued in terms of Armenian drams,” Minasyan said.

As to a possible rise in the fuel prices, Minasyan said: “Should the petrol prices rise, the rise will be compensated for by a stable gas price.” According to him, the stabilized gas price will considerably reduce the risks a rise in petrol price may involve.