Russia plans to cut state support for farmers due to a budget deficit

Russia is preparing to cut state support for agriculture due to a shortage of funds in the federal budget,

according to Russian media reports.

According to the publication, the Russian Ministry of Agriculture is proposing to reduce the subsidy rate for preferential loans to agricultural producers from 70% to 50% of the Central Bank’s key rate. The explanatory documents cite a lack of additional funding sources and a budget deficit as the reasons for this.

Currently, preferential loans with higher compensation rates are available for key areas, including seasonal work, livestock farming, breeding, and the purchase of equipment. If the changes are adopted, the cost of such loans for farmers will increase significantly.

Europe is ready for negotiations with the U.S. and Russia regarding the war in Ukraine, says Merz.

The European Union is discussing the possible appointment of a special mediator for contacts with Russia, and Angela Merkel is among the leading candidates. Mario Draghi and Alexander Stubb are also being considered, but no final decision has been made yet due to disagreements among diplomats. 

Recall that Merkel is being considered as a potential mediator in negotiations between the EU and Russia.

Berlin has called theRussian Federation’s proposal regarding Schröder’s mediation a fiction.