New Financial Instrument for Farmers: Agricultural Notes in Ukraine

The Minister of Agrarian Policy and Food of Ukraine, Vitaliy Koval, discussed with the Chairman of the National Securities and Stock Market Commission, Ruslan Magomedov, the launch of a new financial instrument for farmers – agricultural notes.

This is reported by AgroReview

“An agricultural note is a non-issue security in electronic form that certifies the unconditional obligation of the debtor, secured by collateral, to supply agricultural products or pay funds to the creditor according to the terms defined by such security,” –

quotes SEEDS the words of Vitaliy Koval.

Advantages of Agricultural Notes for Ukrainian Farmers

According to Koval, this mechanism opens new opportunities for Ukrainian farmers, including:

• Digitization: agricultural notes exist in electronic form, simplifying their issuance and circulation, as well as reducing transaction costs.
• Access to Financing: agricultural producers will be able to attract additional resources and make payments under contracts.
• Transparency and Reliability: information about agricultural notes is recorded in the Register of Agricultural Notes and the depository system of Ukraine, ensuring the speed and security of transactions.

Digital Transformation of Agri-Financing

“This is an important step in the digital transformation of agri-financing, which will facilitate the integration of Ukrainian agribusiness into global financial markets. We invite farmers to familiarize themselves with the opportunities of agricultural notes and actively use this instrument to develop their farms,” –

emphasized Vitaliy Koval.