Farmers urged to access CBN intervention fund

Posted by News Express | 31 October 2015 | 3,749 times

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The All Farmers Association of Nigeria (AFAN) in Lagos on Friday advised members to develop agri-business proposals to access the N200 billion Central Bank of Nigeria’s (CBN) intervention fund.

Mr Femi Oke, the State Chairman of the association, gave the advice in an interview with the News Agency of Nigeria (NAN) in Lagos.

He said that members needed to develop agri-business in order to take advantage of the CBN fund.

NAN recalls that the CBN, in collaboration with the Federal Ministry of Agriculture, introduced the Commercial Agriculture Credit Guarantee Scheme (CACS) in 2009 to finance agriculture value chain.

The value chain begins from input supply to cultivation and finally to marketing.

The CACS was originally introduced to fast-track the development of the economy through credit facilities at a single digit interest rate.

Oke said that the fund has been available but that farmers and agribusiness owners were not utilising it.

He said that the fund was an avenue for farmers to develop their productivity through the use of modern technologies.

“We are happy with the intervention fund by the CBN being disbursed through commercial banks.

“Although the fund has been in existence, but farmers are not taking advantage of it.

“All they need to do is forward a credible business proposal through any commercial bank.

“The fund repayment plan is at a single digit interest rate which is very good because farmers cannot deal with double digit interest rate.”

The chairman, however, called on the Federal Government to advise commercial banks to desist from collecting/making other charges, which discourage farmers from accessing the fund.

He alleged that the banks were making the process too difficult for farmers thereby scaring them away.

NAN reports that a farmer is entitled to N5million and above. (NAN)



Source: News Express

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