Local entrepreneurs get soft loans worth over $37 million

10 June 2016 13:24 (UTC+04:00)

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By Nigar Abbasova

Azerbaijan’s National Fund for Entrepreneurship Support (NFES) has allocated approximately 57.3 million manats ($ 37.9 million) on easy terms since early 2016, while about 1,100 entrepreneurs made use of means allocated by the fund.

NFES CEO Shirzad Abdullayev, addressing the forum dedicated to the issue of easy credits, mentioned that the financial means are expected to give a stimulus for the creation of more than 2,200 jobs.

The Fund has already allocated about $ 64.3 million to the entrepreneurs of the Shirvan economic area for the financing of approximately 1,800 investment projects on the creation of logistics centers, poultry factories, stock-raising complexes, bread-baking plant, enterprises for the manufacture of building materials, dried fruit as well as large farm enterprises.

As much as 51 entrepreneurs have got easy credits in the amount of 371.000 manats ($ 245.956) within the framework of the forum. The credits are considered for the development of potato growing, stock-raising, gardening and bee keeping.

The amount of funds to be allocated by the NFES is expected to reach the level of 70 million manats ($ 46.4 million) in 2016.

Previously, Economy Minister Shahin Mustafayev stated that so far the government has allocated easy credits with the cost of 161 million manats ($107.3 million).

Allocation of funds is aimed at the mitigating of the impact of global economic crisis to the national economy and minimization of its dependence on the oil sector. The country takes steps in an effort to diversify the national economy and provide for the development of the agricultural sphere.

The National Fund for Entrepreneurship Support was established in 1992. Loans are allocated to entrepreneurs through 59 authorized banks and non-bank lenders.

Nigar Abbasova is AzerNews’ staff journalist, follow her on Twitter: @nigyar_abbasova