A total of facility of N7.293 billion was disbursed to 52,474 companies and individuals in the agricultural sector between January and November 2016 under the Agricultural Credit Guarantee Scheme (ACGS), an initiative of the Central Bank of Nigeria (CBN).
Leadership report that the from the statistics so far, Edo State recorded the highest guaranteed fund as agricultural companies in the state received N1.181 billion of the amount disbursed in the 11-month period. The figure, which is 16 per cent of the total amount disbursed in the period under review, was disbursed to 7,576 agric-oriented projects.
Ogun State followed with 3,254 individuals and companies getting N550.917 million loans guaranteed under the scheme. Oyo and Imo states had 4,631 and 1,666 companies as well as individuals that got N511.282 million and N453.091 million respectively between January and November 2016.
Edo State had the highest loan guaranteed under the scheme in November with N52.54 million disbursed to 274 individuals. More loans were disbursed under the ACGS by microfinance banks, which gave out 85.6 per cent of the total amount of N7.293 billion guaranteed by the scheme between January and November 2016.
Only four commercial banks gave out N1.051 billion in loans guaranteed by the ACGS during the 11-month period. Diamond bank gave out N2.7 million; United Bank for Africa gave out N7.22 million, while First Bank of Nigeria gave N103.48 million. Union Bank of Nigeria released the highest amount of N938.517 million.
The facilities given under the scheme in the period focused on food crops. Guaranteed funds to this sector was N4.871 billion between January and November 2016. Tubers and root crops got the highest facilities.
Under the scheme, N1.513 billion was disbursed to 10,849 companies and individuals in the agricultural sector between October and November.
While N896.397 million was disbursed in October, N616.902 million was disbursed in November, according to the latest data released by the apex bank.
Likewise, N8.421 billion was repaid by 54,811 individuals who had taken the facility, with the largest repayment coming from Delta State where N1.06 billion was repaid in the 11-month period between January and November, 2016.
Meanwhile, the Delta State government has registered over 30,000 farmers across the selected enterprises of cassava, oil palm, rice and fisheries for the CBN’s Anchor Borrowers Programme (ABP).
The state commissioner for agriculture and natural resources, Mr Austin Chikezie, disclosed this in an interview with journalists in Asaba, the state capital.
He said that the aim was to boost the production of fish, cassava, oil palm and rice under the CBN’s ABP in the state.
The commissioner said that the state’s policy on agriculture was directed towards achieving agricultural growth and development, with a focus on providing food for local consumption and raw materials for agro-industries, which will boost employment and poverty alleviation.
