FORMS OF EXTERNAL FINANCING OF FARMS

• Authors: Grzelak A.
• Languages of publication: PL

Abstracts

EN

The main aim of the article is to determine how often Polish farms resort in their operation to credits and leasing. Generally, the degree to which these forms of financing are used is not high, especially in the case of leasing. It should be noted, however, that an improvement has occurred in this respect as evidenced by an increase in the credit indebtedness of farms recorded between 1996 and 2002. Moreover, polarization of farms is observable as far as the use of credits is concerned. On one hand, the use of credits has become less frequent in smaller farms and, on the other hand, the number of entities drawing large credits has increased. The surveyed respondents favourably assess the effects of the use of preferential credits in their farms. It can be stated that the low popularity of leasing among Polish farmers may be attributable to the economic downturn in agriculture and the farmers' insufficient knowledge about the possibilities of using this form of financing. The results of the conducted surveys also suggest that the farms which use credits and leasing have a relatively well defined organizational-demographic profiles. This creates a chance for banks and leasing firms to more selectively prepare proposals addressed to clients from the agricultural sector.

Keywords

EN

CREDIT; DEBT; FARM; LEASING

Discipline

• ECONOMICS: ECONOMICS

• Publisher: Institute of Rural and Agricultural Development, Polish Academy of Sciences; www.irwirpan.waw.pl
• Journal: Wieś i Rolnictwo
• Year: 2005
• Issue: 4(129)
• Pages: 116-123
• Document type: ARTICLE

Contributors

author

Grzelak A.

• A. Grzelak, Akademia Rolnicza w Poznaniu, Katedra Makroekonomii i Ekonomii Zywnosci, al. Wojska Polskiego 28, 60-637 Poznan, Poland

Identifiers

CEJSH db identifier

06PLAAAA00751852