INVESTMENT ATTRACTIVENESS OF THE AGRICULTURAL SECTOR IN CONDITIONS OF GEOPOLITICAL INSTABILITY

Issue № 3, 2023, article № 5, pages 55-64

Section: Agricultural policy and state regulation of the agro-industrial complex

Language: Russian

Original language title: ИНВЕСТИЦИОННАЯ ПРИВЛЕКАТЕЛЬНОСТЬ АГРАРНОГО СЕКТОРА В УСЛОВИЯХ ГЕОПОЛИТИЧЕСКОЙ НЕСТАБИЛЬНОСТИ

Keywords: INVESTMENTS, INVESTMENT ATTRACTIVENESS, STATE SUPPORT, AGRICULTURAL ECONOMY, CREDIT, BOND

Abstract: The issues of investment attractiveness of agricultural commodity producers in the conditions of sanctions pressure and geostrategic instability are gaining importance for the inflow of long-term capital in order to ensure the policy of modernization of production on an innovative basis. Under the current conditions, agricultural producers have significantly reduced their investment activity, especially by reducing capital investments in innovative technologies in 2022. At the same time, studies have shown that the observed lag in the growth rate of investments due to attracted sources during the first half of 2022 is primarily due to a decrease in the rate of loans to agricultural producers by banks, due to some difficulties that have arisen due to the consequences of economic sanctions of Western countries. In subsequent periods of sanctions, despite the expansion of sanctions, lending to agriculture by banks decreased by only 15.1% compared to the previous period. The analysis of investment processes revealed that the largest reduction in investments in fixed assets in the agricultural sector due to bank loans in the period under review was observed in the farms of the Southern and North Caucasus Federal Districts, which indicates, in our opinion, a low assessment by banks of the likelihood of repayment of borrowed funds in the current realities of sanctions pressure on Russia. In the course of the research, the author's understanding of investment attractiveness was formulated, taking into account the prospects for the transition to the so-called "green economy" and the attraction by agricultural producers of various forms of management and organizational and legal forms of entrepreneurship of long-term capital through the issuance and placement on the market of "green bonds".

Authors: Kulov Aslan Rostislavovich