30 Billion Lira Guarantee Support for Agriculture: New Credit Package for Farmers

New Era in Access to Finance Minister of Agriculture and Forestry İbrahim Yumaklı has announced a new support package designed for farmers and agricultural small and medium-sized enterprises (SMEs) who face difficulties accessing credit due to insufficient collateral.
The Agricultural Guarantee Support Program aims to provide guarantees for an initial 30 billion TL in agricultural loans.
Two Different Guarantee Models Under the program, two separate guarantee models will be implemented based on the needs of agricultural enterprises.
The first model will cover operating expenses, while the second will focus on agricultural investments.
In both models, producers will be offered a grace period of up to 12 months for principal payments.
Loan maturities will extend up to 24 months for operating loans and up to 60 months for investment loans.
Credit Limits and Restructuring Opportunities Guarantee limits have been set at 12.5 million TL for operating loans and 25 million TL for investment loans.
Loans provided through the Credit Guarantee Fund (KGF) will also include restructuring options to facilitate easier payments for businesses.
Sustainable Production and Competitive Advantage Emphasizing that access to finance is critical for sustainable production, Minister Yumaklı noted that the current rate of KGF guarantee usage in the agricultural sector stands at only 1 percent.
The new mechanism aims to ensure food supply security, protect natural resources, and provide the agricultural sector with a long-term competitive advantage.
The program's budget is expected to increase in the future.