News
05.07.2012
Rada allows Cabinet to borrow $3 billion for agro-industrial complex
The Verkhovna Rada of Ukraine has adopted the bill on amendments to the Law of Ukraine on the State Budget of Ukraine for 2012 (concerning public borrowing), which allowed the Cabinet to draw a loan amounting to 24.3 billion UAH for projects envisaged by the Ukrainian-Chinese agreement on cooperation in the agricultural sector, according to the parliamentary website.
"The Law on the State Budget of Ukraine for 2012 has been supplemented with a new article, which stipulates providing the Cabinet of Ministers with the right to carry out government borrowing for the implementation of the Memorandum of Understanding on cooperation in the field of priority projects in agriculture in excess of the volume set by Addendum 2 to the Law at 24,300,000 thousand UAH," the report reads.
The bill is aimed at ensuring the implementation of projects in agriculture, namely the purchase of Chinese crop protection means, crop seeds, farm machinery and other goods for Ukrainian agriculture, or the sale of Ukrainian grain crops to China, the construction of a factory for the production of plant protection means, the processing of organic mineral fertilizers and other construction projects in Ukraine, the cultivation of land, planting, etc.
The Ministry of Finance shall increase by the volume of borrowings the relevant figures of funding, costs and lending to the special fund of the state budget in excess of the amounts approved by Addenda 2, 3 and 4 to the Law, and if necessary, introduce new budget programs.
As reported, the Memorandum of Cooperation between the Ministry of Agricultural Policy and Food of Ukraine and the Export-Import Bank of China to support priority projects in agriculture was signed on June 28, 2012 in Beijing.
