Banks Agree On Farmers Loan Extension - Agric Minister

The Minister of Agriculture, Akinwumi Adesina as well as the
Governor of Central Bank of Nigeria (CBN) and the Chief
Executives of commercial banks in Nigeria have agreed to
expand the loan tenor to farmers from six to twelve months as
part of the resolve of the emerging generation of leaders to
uplift the country.

According to the Minister who hinted at a breakfast meeting
organized by the Federal Ministry of Agriculture and Rural
Development in Abuja recently, the venture will ensure
increase in food production in 2014; reduce inflation and
enable banks to reconcile the modalities for seed to fertilizer
supply chains and loans transacted during the dry season to
wet season farming.

"One of the pillars of the decisions reached sought to convey
the Federal Government's appreciation for the contributions of
the banks to the evolving agricultural revolution in the
country. The meeting also discussed and resolved some
challenges mostly bureaucratic in the loan repayment
processes," he said.

Akinwumi Adesina explained that the total amount lent to
farmers in 2013 was N20 billion as against N3.5 billion in the
preceding year; adding that the increase expresses confidence
in the farmers resulting from the institutional structures which
were created in the form of value chains. The institutional
structures, he added have done so much to create and sustain
confidence in the value chains as the Ministry is poised to
reduce the risk of lending by banks to the agric sector.

He identified the banks which have greatly supported the
Agric sector to include: Access Bank, Diamond Bank,
Enterprise Bank, First City Monument Bank, Jaiz Bank, First
Bank of Nigeria, MainStreet Bank, Sterling Bank, United Bank
for Africa, Unity Bank, Wema Bank, Zenith Bank, Union Bank
and the Bank of Agriculture.

"The registration of farmers which started in year 2012 has in
2013 reached 4.2 million farmers directly through the
electronic wallet scheme. This means that about 20 million
people have been impacted upon by the GES programme of the
Federal Government," he noted.
The Minister attributed the decline in

De Edge Farms