Funding Sources for Agriculture in Ukraine

Oleksandr A. Aleksyeyenko, Arthur V. Yalovyy

The agricultural sector plays a significant role in the economy of Ukraine. From the smallest of farmers to the largest agri-giants work the world’s most fertile black soil and put Ukraine sixth in the list of the world’s largest exporters of grain. The story of agricultural business development in Ukraine has often been one of reliance on self-generated resources, until a decision is made to make a leap forward which only external financing could allow for. The following choice of whether to finance this leap by issuing debt or equity was one of the most important decisions to make, since the chosen path would inevitably have a substantial impact on the success of that business…