Expert contributions
Autor: Prof. Dragana Gnjatovic PhD
Summary: During the initial years of the personal reign of King Aleksandar Karadjordjevic, the matter of delaying repayment and writing off of the agrarian debts was suspended from the agenda. Debtor-creditor relationship present in the country was maintained, for some time to come, thanks to the fact that under the Law, adopted on 16 April 1929, Privileged Agrarian Bank was established. Farmers were offered the option of refinancing their debt, that was pilling up with the joint stock banks and private persons, with mortgage loans to be granted by this bank specialised in agrarian crediting. Joint stock banks, from all parts of the country, welcomed the establishment of the Privileged Agrarian Bank and subscribed to one sixth of its originally set up initial equity capital.