17:50, 03 августа 2022, Bishkek - 24.kg news agency , Nurkyz SABYROVA
Issuance of warehouse warrants started in Kyrgyzstan. The State Agency for Financial Supervision reports.
The warehouses of Bai Elim Company, Agroproduct Asia and Ecoproduct Asia received the right to provide single and double warehouse warrants at the beginning of August.
A warehouse warrant is a security issued by a warehouse to a farmer as confirmation that his goods are valued at a certain amount and accepted for storage.
With this document, the farmer can apply for a loan from the bank, leaving the crop in the warehouse as collateral. Until the end of the loan agreement, the collateral will be stored in a warehouse, waiting for the moment when its value increases.
All these years, farmers had to mortgage their land, houses, equipment or cars to get a large loan from microfinance companies and commercial banks.
The project for issuing warehouse warrants began to be discussed in Kyrgyzstan in 2019. Its development took three years. As a result, the chain of participants is built as follows: the State Agency for Financial Supervision will produce warehouse warrants, the owners of the warehouses will issue warehouse warrants, and Aiyl Bank will act as a partner bank.