The Federal Government in partnership with Unity Bank disclosed its financial support plan for farmers in the country through the Central Bank of Nigeria’s (CBN) Anchor Borrowers’ Scheme.
In a statement by the Chief Executive Officer (CEO) of Unity Bank, Tomi Somefun, 120,000 maize farmers would receive support through the scheme during the planting season.
The programme has, since its inception on 17 November 2015, benefited 3.8 million farmers, receiving a total of N554.61 billion.
Recently, President Muhammadu Buhari, shared that he had signed N600 billion for use to support farmers during the planting season.
According to the CBN “The programme thrust of the ABP is provision of farm inputs in kind and cash (for farm labour) to smallholder farmers to boost production of these commodities, stabilize inputs supply to agro
processors and address the country’s negative balance of payments on food.”
It added that the programme followed consultations with stakeholders including the Federal Ministry of Agriculture and Rural Development, State Governors, millers of agricultural.
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How To Apply For the Loan
To apply, interested applicants are urged to ensure that they are members of the smallholders economic interest farmers agricultural co-operative (SEIFAC).
Loans will be disbursed only to members of the co-operative. Once you have registered, follow the following steps:
Log in to your profile and apply for the SEIFAC/CBN ABP for the 2021/2022 wet cropping season.
Select the preferred crop production enterprise of interest.
Note that the choice of selected crop enterprise should be made with consideration to geographical location, competitive advantage, soil suitability, and planting season.
You can apply here.
Targeted Beneficiaries
The CBN stated that “The loan shall be targeted at smallholder farmers engaged in the production of identified commodities across the country.
“The Farmers should be in groups/cooperative(s) of between 5 and 20 for ease of administration.”
Interest Rate of the Anchor Borrowers’ Loan
After receiving the loan, farmers are expected to repay with a 9 percent (per annum) interest rate
The loan would be given to Participating Financial Institutions (PFI) at the rate of 2 percent while PFIs would disburse the loan at 9 percent.
