CBN To Pump More Money Into Agribusiness
The Central Bank of Nigeria, CBN, has been bullish on the agriculture sector over the past three years.
But it isn’t about to slow down as it plans to even pump in more money this year.
On Thursday, the apex bank in collaboration with the Bankers’ Committee, commenced the disbursement of 26 billion Naira Agribusiness/Small and Medium Enterprises Investment Fund to the first set of beneficiaries.
The fund was set up by the Bankers’ Committee at its 331st meeting held on February 9, 2017, to improve access to affordable financing for Micro, Small and Medium-scale Enterprises, particularly those operating in the informal sector of the economy.
As a commitment to the successful implementation of the scheme, all Deposit Money Banks voluntarily agreed to set aside and contribute 5% of their profit after tax annually to finance eligible projects under the scheme.
Speaking at the inauguration of the scheme at the apex bank’s headquarters in Abuja, the CBN Governor, Mr Godwin Emefiele, said the fund was designed to support the Federal Government’s efforts to promote sustainable economic development and employment generation.
He commended the commitment of the banks to supporting the scheme, saying the disbursement rate of the fund would have risen to 60 billion Naira by the end of next year.
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