CREDIT WORTHLESSNESS OF AGRICULTURAL ORGANIZATIONS IN NOVOSIBIRSK REION AND VENGEROVO AREA

Abstract

Credit worthlessness status is considered as one of the causes affecting the development of agriculture. The growth of regional agriculture credit worthlessness is determined on the basis of Novosibirskoblstat data (Novosibirsk region statistic) on accounts receivable and the scope of bank loans for agricultural commodity producers in Novosibirsk region. Herewith, it is shown that lately, the scope of bank loans for agriculture have not gone up in Vengerovo area. The number of borrowed funds on the part of agricultural producers does not increase with each year coming. Farms of the area are reluctant to contract debts. It is determined that the consequences of this and other negative processes are disappointing financial conditions of agricultural organizations in Vengerovo area. To solve the problem concerned the municipal authorities are suggested to inform agricultural commodity producers about the possibility to take credits and build up production.