Armenia's Agricultural Equipment Leasing Support Program
Access modern farming equipment with government-subsidized financing at just 2% annual interest rate
Program Overview
The Armenian government's agricultural equipment leasing program aims to modernize farming operations by providing accessible financing for essential agricultural machinery through subsidized leasing mechanisms.
Program Objectives
- Increase mechanization levels in agriculture
- Improve efficient use of agricultural land
- Support commercial agricultural production
- Enhance competitiveness and productivity
Program Impact
Who Can Apply?
Individual Farmers
Physical persons engaged in agricultural activities who meet financial institution creditworthiness requirements
Agricultural Companies
Legal entities and organizations involved in agricultural production and processing
Communities & Cooperatives
Local communities and agricultural cooperatives seeking to modernize their farming operations
Basic Requirements
Financial Criteria:
- Meet bank creditworthiness standards
- Ability to make 20% down payment
- Demonstrated agricultural activity
Program Compliance:
- Use equipment for intended agricultural purposes
- Maintain required insurance coverage
- No existing program violations
Available Agricultural Equipment
Tractors
Various brands and models
Combines
Harvesting equipment
Seeders
Planting machinery
Mowers
Grass cutting equipment
Complete Equipment List
Primary Machinery:
- • Tractors (various brands)
- • Combines
- • Balers
- • Seeders
Cultivation Tools:
- • Ploughs
- • Cultivators
- • Rotary tillers
- • Mowers
Specialized Equipment:
- • Potato planters/diggers
- • Sprayers
- • Tractor trailers
- • Other agricultural machinery
Program Benefits & Payment Terms
Key Benefits
Payment Structure
Lease Terms by Equipment Type
Equipment Type | Lease Period | Interest Rate |
---|---|---|
Combines | 7-10 years | 2% (0% for eligible) |
Tractors | 5-6 years | 2% (0% for eligible) |
Seeders, Balers | 3-6 years | 2% (0% for eligible) |
Other Equipment | 3 years | 2% (0% for eligible) |
How to Apply
Choose Equipment
Select the agricultural machinery that meets your farming needs
Contact Bank
Approach a participating financial institution for creditworthiness assessment
Submit Application
Complete the leasing application with required documentation
Receive Equipment
Upon approval, receive your subsidized agricultural equipment
Required Documentation
For Individuals:
- Valid identification documents
- Proof of agricultural activity
- Financial statements and income verification
- Down payment confirmation
- Property/collateral documentation
For Organizations:
- Company registration documents
- Tax compliance certificates
- Financial audit reports
- Board resolutions and authorization
- Business plan and projections
Ready to Get Started?
Contact participating financial institutions to begin your application process today!
Real-World Examples
Example 1: Small Farm Tractor Purchase
Example 2: Combine Harvester for Large Farm
Cost Comparison: With vs Without Government Support
Financing Option | Interest Rate | Monthly Payment* | Total Interest Paid |
---|---|---|---|
Government Program | 2% | 210,000 AMD | 600,000 AMD |
Traditional Bank Loan | 12-14% | 270,000 AMD | 4,200,000 AMD |
*For 15M AMD tractor over 5 years
Frequently Asked Questions
What types of agricultural equipment are covered?
The program covers new, unused agricultural equipment including tractors, combines, balers, seeders, ploughs, mowers, potato planters/diggers, cultivators, sprayers, and tractor trailers from recognized manufacturers.
Who qualifies for the 0% interest rate?
Farmers operating in border communities receiving social support and citizens who became disabled during military service or combat operations qualify for 0% annual interest rate instead of the standard 2%.
Can I take a payment break during the lease period?
Yes, lessees can request payment holidays for up to 6 months per year on both principal and interest payments, subject to agreement with the financial institution.
Is insurance required for the leased equipment?
Yes, KASKO insurance covering loss and damage risks is mandatory throughout the entire lease period. The insurance is paid by the financial institution as part of the program benefits.
What happens if I want to pay off the lease early?
There are no penalties for early repayment. You can pay off your lease at any time without additional fees, which can save you money on future interest payments.
How much equipment can one person lease under this program?
Each lessee can lease up to a maximum total value of 500 million AMD worth of agricultural equipment under the program across all their leasing contracts.
Which banks and financial institutions participate in this program?
Multiple financial institutions participate in the program. For the current list of participating banks and organizations, contact the program hotline at 81-40 or visit the official Ministry of Economy website.
Can I lease multiple pieces of equipment at the same time?
Yes, you can lease multiple pieces of equipment simultaneously. When leasing a tractor along with other agricultural equipment at the same time, the lease term can be extended to 5-6 years for the entire package.
Get Support & Information
Program Hotline
81-40
Call for consultation and guidance on the agricultural equipment leasing program
Official Website
Ministry of EconomyAccess program details, participating financial institutions, and application forms
Start Your Agricultural Modernization Journey Today
Take advantage of this government-supported program to access modern farming equipment at unprecedented rates
Armenia Agricultural Equipment Leasing Program
Empowering farmers with accessible financing for modern agricultural equipment