Entrepreneurship Development Fund to finance 39 projects in Sheki-Zagatala

By Azernews

By Leman Mammadova

Ministry of Economy continues to provide entrepreneurs operating in the regions with financial support to stimulate entrepreneurship across the country.

Entrepreneurship Development Fund under the Ministry of Economy issued a total of 491,000 manats ($288,907) of soft loans to entrepreneurs operating in the Sheki-Zagatala economic region, during a business forum held in Zagatala region on October 16.

The loans have been provided to finance 39 investment projects in the areas of livestock and gardening, etc. The implementation of these projects will open 50 new jobs.

In general, Entrepreneurship Development Fund has so far granted 119.7 million manats ($70.43 million) of soft loans to finance 2,400 investment projects in the Sheki-Zagatala economic region.

Since early 2019, the Fund has provided soft loans at 134.1 million manats ($78.91 million) to entrepreneurs operating in Azerbaijan, of which 65 percent accounted for the country's regions.

At the event, sample investment projects on rural tourism, tobacco growing, gardening, creation of beekeeping farms, warehouse complex for dry tobacco storage and hazelnut processing facility have been presented.

Azerbaijani Entrepreneurship Development Fund was established on the basis of the National Fund for Entrepreneurship Support, operating in the country since 1997.

The authorized capital of the Fund was set at 1.9 billion manats ($1.1 billion). Loans are issued for 5,000 ($2,933) to 50,000 manats ($29,326) for a period of 3 years, from 50,000 to 1 million manats ($586,510) for 5 years and from 1million to 10 million ($5.87 million) for 10 years. The annual loan rate is 5 percent.

The Fund intends to issue soft loans worth 160 million manats ($94 million) this year. In general, the Fund has issued soft loans in the amount of more than 2.3 billion manats ($1.35 billion) so far. About 68 percent of the loans was directed to the agricultural sector.