Mechanisms of lending, budget and tax stimulation and financial restructuring of the agrarian complex
DOI:
https://doi.org/10.51599/is.2025.09.02.09Keywords:
agriculture, instruments, risks, lending, taxation, financial stability, restructuring, innovation, sustainable development.Abstract
Purpose. The purpose of the study is to improve the mechanisms of lending, fiscal and tax incentives, and financial restructuring of the agrarian sector of the national economy.
Results. The main results of the study are: (і) substantiated proposals for Ukraine in terms of lending, fiscal regulation, and restructuring of the agrarian sector based on the EU’s experience; (іі) recommendations for improving state governance of the agrarian sector of the national economy through an integrated model of budgetary and credit support for enterprises in the sector, and the implementation of financial restructuring when necessary. Based on statistical data from the National Bank of Ukraine, a model of the loan portfolio of agrarian enterprises has been formalised. It has been established that credit policy is an important component of state economic policy that should: ensure a predictable and stable financial environment for agricultural producers; promote the transformation of rural areas; and support investment activity through special programs, guaranteed loans, and digital solutions.
Scientific novelty. The shortcomings of the current lending system have been identified, and ways to address them have been proposed, which will ensure: an increase in lending volumes to reliable, creditworthy borrowers; acceleration of loan repayments through quality borrower selection and transparency of procedures; the allocation of credit resources to support production, innovation, and critically important sectors (agrarian sector, critical infrastructure, logistics, energy); and the revitalisation of economic activity even under crisis conditions. The study adapts the principles of the systems approach to improving the functioning of the agrarian sector of the national economy on the basis of harmonising the interaction of lending mechanisms, budgetary and tax incentives, and financial restructuring.
Practical value. The significance of the study lies in improving lending mechanisms for agrarian enterprises, developing indicators of the social significance of projects seeking state support, and ensuring transparency, electronic monitoring, and performance evaluation of state credit instruments.
References
Abdigu, G., Assanova, G., Iskakova, D., Sabirova, S., & Balkibayeva, A. (2025). Decision-making models in information management systems of agro-industrial enterprises. Scientific Horizons, 28(4), 165–179. https://doi.org/10.48077/scihor4.2025.165
Arzhevitin, S., Stetsenko, B., Okhrymenko, I., Bilochenko, A., & Biloshapka, V. (2021). Modern problems of bank lending of enterprises of the agricultural complex of Ukraine. Financial and Credit Activity Problems of Theory and Practice, 4(39), 50–57. https://doi.org/10.18371/fcaptp.v4i39.238596
Babayev, N., Hakimova, Ye., & Huseynova, A. (2022). Reforming the taxation of agrarian entrepreneurship (case study of Azerbaijan). Scientific Horizons, 25(8), 117–124. https://doi.org/10.48077/scihor.25(8).2022.117-124
Bechko, P. K., Nepochatenko, O. A., & Gavrylenko, O. A. (2025). The role of rural credit cooperatives in increasing the efficiency of the credit resources market in the agricultural sector of the economy. Economic Space, 197, 141–147. https://doi.org/10.30838/EP.197.141-147
Bordiyanu, I., Nurekenova, E., Mambetkaziyev, A., Baikenov, Zh., & Nepshina, V. (2025). Assessing the efficiency of management information systems in agrarian companies. Scientific Horizons, 28(5), 102–114. https://doi.org/10.48077/scihor5.2025.102
Dragan, I. V., Datsiy, N. V., & Antonova, L. V. (2024). Regulation of production in the agricultural sector of Ukraine using budgetary and extra-budgetary investment mechanisms. Investytsiyi: Praktyka ta Dosvid, 1, 95–102. https://doi.org/10.32702/2306-6814.2024.1.95
Gulaya, A. S. (2015). Institutional and organizational framework of credit granting of the agricultural sector in Ukraine. Financial and Credit Activity Problems of Theory and Practice, 1(18), 64–71. https://doi.org/10.18371/fcaptp.v1i18.46111
Kasthuri Thilagam, V., & Manivannan, S. (2025). Climate change implications on soil health and agronomical interventions to increase soil carbon sequestration under different land uses. International Journal of Environmental & Agriculture Research, 11(6), 124–130. Available at: https://ijoear.com/assets/articles_menuscripts/file/IJOEAR-JUN-2025-33.pdf
Kovalenko, T. O. (2023). Agroholdings in the structure of agrarian legal relations: pro and contro. Scientific and Informational Bulletin of the Ivano-Frankivsk University of Law named after King Danylo Halytsky. Series: Law, 15(2), 150–158. https://doi.org/10.33098/2078-6670.2023.15.27.2.150-158
The Verkhovna Rada of Ukraine (2016). Law of Ukraine “On financial restructuring”. Available at: https://zakon.rada.gov.ua/laws/show/1414-19#Text
The Verkhovna Rada of Ukraine (2021). Law of Ukraine “On the partial guarantee fund for loans in agriculture”. Available at: https://zakon.rada.gov.ua/laws/show/1865-20#Text
The Verkhovna Rada of Ukraine (2004). Law of Ukraine “On state support for agriculture in Ukraine”. Available at: https://zakon.rada.gov.ua/laws/show/1877-15#Text
The Verkhovna Rada of Ukraine (2022). Law of Ukraine “On amendments to the Tax Code of Ukraine and other laws of Ukraine regarding the peculiarities of tax administration of taxes, fees and single contribution during a state of war or emergency”. Available at: https://zakon.rada.gov.ua/laws/show/2260-20#Text
The Verkhovna Rada of Ukraine (2010). Law of Ukraine “Budget Code of Ukraine”. Available at: https://zakon.rada.gov.ua/laws/show/2456-17#Text
The Verkhovna Rada of Ukraine (2010). Law of Ukraine “Tax Code of Ukraine”. Available at: https://zakon.rada.gov.ua/laws/show/2755-17#Text
The Verkhovna Rada of Ukraine (2003). Law of Ukraine “On farming”. Available at: https://zakon.rada.gov.ua/laws/show/973-15#Text
Lemishko, О., & Shevchenko, N. (2021). Lending in the agricultural sector of Ukraine: challenges and solutions. Economic Annals–XXI, 192(7-8(2)), 74–87. https://doi.org/10.21003/ea.V192-07
Lemishko, О., Davydenko, N., Abuselidze, G., & Shevchenko, N. (2024). Methodological approaches to the study of public financial policy of capital reproduction in the agricultural sector in the focus of information technology management. In R. K. Hamdan, A. Buallay (Eds.), Artificial Intelligence (AI) and Customer Social Responsibility (CSR). Studies in Systems, Decision and Control, vol 517. Springer, Cham. https://doi.org/10.1007/978-3-031-50939-1_35
Marmul, L. O., Perchuk, O. V., Devko, S. T., & Vovchenko, R. S. (2024). Improving accounting and tax administration of agricultural enterprises by means of internal control and audit. Agrosvit, 24, 22–29. https://doi.org/10.32702/2306-6792.2024.24.22
Minfin.com.ua (2025). State and consolidated budget of Ukraine. Available at: https://index.minfin.com.ua/ua/finance/budget
Novak, N. P., Prystemsky, O. S., & Sakun, A. Zh. (2024). Improving accounting and administration of taxes of agricultural enterprises in modern conditions on the basis of legal changes. Agrosvit, 5, 22–27. https://doi.org/10.32702/2306-6792.2024.5.22
Oliynyk, O., Makogon, V., Skoromna, O., Mishchenko, V., & Brik, S. (2021). The effectiveness of short-term lending to agricultural producers. Financial and Credit Activity Problems of Theory and Practice, 3(38), 304–314. https://doi.org/10.18371/fcaptp.v3i38.237461
Prokopchuk, O., Bechko, P., Vlasyuk, S., Nepochatenko, O., & Ptashnyk, S. (2022). Financial mechanisms of regulatory development of entrepreneurial activity of agricultural business entities. Scientific Horizons, 25(7), 10–19. https://doi.org/10.48077/scihor.25(7).2022.10-19
Regulations of the National Bank of Ukraine (2019). “Оn the organization of the problem asset management process in Ukrainian banks”. Available at: https://zakon.rada.gov.ua/laws/show/v0097500-19#Text
Regulations of the National Bank of Ukraine (2016). “On approval of the Regulation on determining by Ukrainian banks the amount of credit risk for active banking operations”. Available at: https://zakon.rada.gov.ua/laws/show/v0351500-16#Text
Cabinet of Ministers of Ukraine (2018). Resolution of the Cabinet of Ministers of Ukraine “On approval of the Procedure for the use of funds provided for in the state budget for state support for the development of livestock breeding and processing of agricultural products”. Available at: https://zakon.rada.gov.ua/laws/show/107-2018-%D0%BF#Text
Cabinet of Ministers of Ukraine (2021). Resolution of the Cabinet of Ministers of Ukraine “Some issues of providing state guarantees on a portfolio basis”. Available at: https://zakon.rada.gov.ua/laws/show/723-2021-%D0%BF#Text
Cabinet of Ministers of Ukraine (2020). Resolution of the Cabinet of Ministers of Ukraine “On the provision of financial state support”. Available at: https://zakon.rada.gov.ua/laws/show/28-2020-%D0%BF#Text
Statistical data of the National Bank of Ukraine (2025). “Distribution of loans granted to business entities in national and foreign currencies by the size of the business entity and types of economic activity, classified by sections, of which default loans are renewable according to Regulation No. 351 and non-performing loans are renewable according to Regulation No. 97”. Available at: https://bank.gov.ua/files/stat/Loans_MSE_KVED_2025-06-01.xlsx
Thul, P. P., Jagtap, D. N., Gosavi, R. A., Khatal, M. M., Labade, P., & Sawant, A. A. (2025). Biotechnological innovations in packaging and sensors in food processing. International Journal of Environmental & Agriculture Research, 11(4), 48–63. https://doi.org/10.5281/zenodo.15300768
Tsymbalyuk, Yu. A., Vlasyuk, S. A., Polishyvayko, S. S., Drachuk, O. V., & Zayarna, K. O. (2024). Peculiarities of crediting the agricultural sector of Ukraine under martial law. Collection of Scientific Papers of the Uman National University of Horticulture, 104(2), 53–61. https://doi.org/10.32782/2415-8240-2024-104-2-53-61
Volyk, S. V. (2023). Scientific and theoretical principles of determining the place of the competitiveness potential in the structure of the economic potential of agrarian enterprises. Business Inform, 12, 378–383. https://doi.org/10.32983/2222-4459-2023-12-378-383
