Turkmenistan is consistently strengthening the economic potential of its agricultural sector by introducing effective financial instruments and expanding material and technical support for agricultural producers. Neder Nederow, Department Head of the Credit Policy Directorate of the State Commercial Bank of Turkmenistan “Dayhanbank,” detailed these measures in an article published in the Turkmenistan newspaper.
According to the bank official, a key element of the state policy in the agro-industrial complex remains the comprehensive provision of tenant farmers with advanced specialized machinery, high-quality seed material, mineral fertilizers, and chemical plant protection products. The financing of these production needs is carried out uninterruptedly through specialized credit lines from Dayhanbank.
Material Incentives and Flexible Settlements
One of the most important factors driving labor productivity growth has been the increase in state procurement prices. Starting from the 2024 harvest, the state procurement price for one ton of wheat was fixed at 2,000 manats.
Neder Nederov notes that the “Türkmengallaönümleri” (Turkmen Grain Products) State Association currently conducts prompt settlements with producers using bank loans. Funds are regularly transferred to the accounts of tenant farmers and landowners in cash or non-cash form, depending on their preference. In particular, for the convenience of grain growers, a mechanism has been established allowing them to withdraw up to 50,000 manats in cash from bank cards within one week after the final settlement for the delivered harvest.
An additional measure supporting farmers who combine crop cultivation with livestock breeding is the return of processing by-products. Agricultural producers are granted the right to repurchase up to 50% of the waste generated from processing the volume delivered to the state (such as bran, meal, oil cake, and beet pulp) at special fixed state prices.
Array of Concessional Loans and Deposits for the Agricultural Sector
To ensure the efficient execution of production plans—including the 2026 harvest target of 1.4 million tons of wheat from an area of 690,000 hectares—Dayhanbank offers a flexible financing system:
- Loans at 2% per annum: Dayhanbank offers agricultural producers bank loans at a 2% annual interest rate for the timely financing of production costs associated with cultivating crops such as cotton, sugar beets, and rice.
- Concessional loans at 1% per annum: These are provided to daýhan (peasant) associations, farms, specialized joint-stock companies, agricultural research institutes, entrepreneurs, and tenant farmers for a term of up to 10 years, subject to equal annual repayments. These funds are purposefully directed toward infrastructure modernization: the purchase of agricultural machinery, excavators, bulldozers, water-saving equipment, innovative systems, as well as pipes and transformers for irrigation.
- Savings programs: To help farmers save and grow their personal funds, the bank regularly offers a specialized two-year deposit called “Galkynan daýhan” with an interest rate of 6% per annum.
The ongoing financial mechanisms and timely settlements with producers ensure steady growth in agricultural production volumes, increase farmers’ incomes, and contribute to strengthening the country’s food security. ///nCa, 3 July 2026