L&M Finance Group


The launch of the Agrarian Register in Ukraine is provided for by Presidential Decree No. 837/2019 “On urgent measures to implement reforms and strengthen the state”. According to the text of the Decree, the Cabinet of Ministers of Ukraine was instructed to develop and begin the process of implementing state support mechanisms by March 31 next year to increase the financial viability of farmers and small agricultural producers. In particular, it is planned to create a pilot project of the electronic farm register, as well as a program to reduce the cost of lending and loan guarantee mechanisms. The latter has a very important role for farmers throughout the country, since the information contained in the Register will help to obtain bank lending. It is after studying each enterprise that a financial institution, using this Register, will understand who it is dealing with and what risks may arise. Of course, this will increase the chances of agricultural producers to get a loan, as commercial banks will see elementary declarative financial statements, the history of the borrower, as well as the state support programs that he uses.
According to existing information, the Agrarian Registry service will operate on a “single window” basis. After registration, the user will be able to obtain information and data from such state registries: State Land Cadastre, register of legal entities and individuals, register of rights, animal registry. This will allow real-time monitoring of each agrarian information on his land plots and the rights of third parties to the plot, which may occur, including even without the knowledge of the agrarian. It is planned that the Register will be supplemented by functional order of public services that are necessary for farming. In addition, through the user's personal account, the agricultural producer will be able to follow the news, establish communication with state bodies, and share information.
It is reported that already in six regions of Ukraine there was a presentation of a pilot project of the Agrarian Register. In particular, the trainings were held in Kiev, Cherkasy, Odessa, Lviv, Volyn and Nikolaev regions. It is envisaged that after the pilot phase, analysis of work and elimination of all shortcomings, the project will be distributed throughout Ukraine.
In addition, Decree No. 837/2019 also instructed the Cabinet of Ministers to take a number of measures regarding the preparation for the introduction of the agricultural land market. Among other things, it is envisaged:
— creation of an electronic register of land engineers and the provision of authority to them to carry out state registration of a land plot;
— promulgation of all decisions on the provision of permits for removal and transfer of the fertile soil layer;
— normative consolidation of documentation on land management exclusively in electronic form.