Post by Trade Coach on Mar 6, 2021 13:56:13 GMT 1
Low - Interest Loans For Agriculture: Stanbic IBTC Boosts Nigeria’s Agriculture With Low-Interest Loans
It is authoritative. Stanbic IBTC Bank Plc, a subsidiary of Stanbic IBTC Holdings Plc, has authoritatively reaffirmed its commitment to support the growth of the Agricultural sector in Nigeria.
In its effort to achieve this, the company has taken it upon itself to come to the aid of farmers and other stakeholders in the agricultural value chain.
The Bank fully understands the financial demands of agriculture and agro business in the country, and therefore has set apart substantial resources to provide farmers and other organizations in the value chain of the industry.
The foremost financial institution is one of the country’s financial institutions that understands both the seasonal cash flow requirements of the agricultural sector of the economy and need for farming equipment.
Stanbic IBTC Bank is currently offering low-interest credit facilities across major sectors of the agriculture industry in Nigeria. This will surely help farmers cushion the effect of the impacts of Covid-19 pandemic on them.
There is no gainsaying the fact that farmers were the worst hit by the pandemic as there was no transportation to their farms, thereby leaving their investments unattended for a long period of time.
This information was released by the Head, Agribusiness, Stanbic IBTC Bank Plc, Mr. Wole Oshin. He said that “the agribusiness financial solution is geared towards ensuring that players in the agriculture space are not hindered by lack of finance”.
He also said that “The Bank’s suite of agribusiness solutions minimizes risks, ensures maximum control and optimizes profits associated with international trade by making transactions smoother, simpler and safer for all parties involved”.
Some of the benefits of the Stanbic IBTC Bank Agribusiness finance include: availability of gap-funding for unforeseen financial needs, maintenance of cash flow, and flexibility of repayment terms based on the type of funding.
This type of funding is versatile as it can be utilized for funding resources, vehicles and other farming equipment.
In addition to this funding for agriculture and agribusiness from Stanbic IBTC Bank Plc, First Bank of Nigeria Plc, is also operating what it calls, Commercial Agriculture Credit Scheme (CACS).
This scheme allows agricultural business owners to enjoy funding from CACS N200 billion Funds. This facility was set up by the Central Bank of Nigeria (CBN) and the Federal Government of Nigeria (FGN) through the Federal Ministry of Agriculture to fast track the development of the nation’s agricultural sector by giving loans to medium and large scale enterprises.
The maximum obligor limit is N2 billion for medium and large scale private sector enterprises while there are no limits for state governments.
If you are a participating private sector business, you must have a minimum farm asset base of N50 million (excluding farm land).
Irrevocable payment order is required in the case of state governments.
What are the benefits of this facility? The facility comes with a single digit interest rate of (9% all-in-all max). It is available till 2025.
Who is qualified to apply? Medium and Large scale commercial farms involved in cultivation of crops, rearing of livestock, fisheries and other farmers.
Limited liability companies involved in agricultural production, storage; processing, marketing and enterprise development are also eligible to apply for this loan.
State governments and FCT (for on-lending/special intervention to small scale farmers) are also qualified and are encouraged to leverage on this funding to develop agriculture and agribusiness in their states.
How to Apply and the Requirements:
1. You need to send in a formal application for a credit facility.
2. Certificate of Incorporation
3. Memorandum and Articles of Association
4. Board Resolution to Borrow
5. Feasibility Study/Business Plan.
One point to take note of is that your project should not be a startup. That is, your business should not be just starting, you cannot use the fund to start a new agricultural business.
You must have been in the business before you can be considered for the facility.
It is authoritative. Stanbic IBTC Bank Plc, a subsidiary of Stanbic IBTC Holdings Plc, has authoritatively reaffirmed its commitment to support the growth of the Agricultural sector in Nigeria.
In its effort to achieve this, the company has taken it upon itself to come to the aid of farmers and other stakeholders in the agricultural value chain.
The Bank fully understands the financial demands of agriculture and agro business in the country, and therefore has set apart substantial resources to provide farmers and other organizations in the value chain of the industry.
The foremost financial institution is one of the country’s financial institutions that understands both the seasonal cash flow requirements of the agricultural sector of the economy and need for farming equipment.
Stanbic IBTC Bank is currently offering low-interest credit facilities across major sectors of the agriculture industry in Nigeria. This will surely help farmers cushion the effect of the impacts of Covid-19 pandemic on them.
There is no gainsaying the fact that farmers were the worst hit by the pandemic as there was no transportation to their farms, thereby leaving their investments unattended for a long period of time.
This information was released by the Head, Agribusiness, Stanbic IBTC Bank Plc, Mr. Wole Oshin. He said that “the agribusiness financial solution is geared towards ensuring that players in the agriculture space are not hindered by lack of finance”.
He also said that “The Bank’s suite of agribusiness solutions minimizes risks, ensures maximum control and optimizes profits associated with international trade by making transactions smoother, simpler and safer for all parties involved”.
Some of the benefits of the Stanbic IBTC Bank Agribusiness finance include: availability of gap-funding for unforeseen financial needs, maintenance of cash flow, and flexibility of repayment terms based on the type of funding.
This type of funding is versatile as it can be utilized for funding resources, vehicles and other farming equipment.
In addition to this funding for agriculture and agribusiness from Stanbic IBTC Bank Plc, First Bank of Nigeria Plc, is also operating what it calls, Commercial Agriculture Credit Scheme (CACS).
This scheme allows agricultural business owners to enjoy funding from CACS N200 billion Funds. This facility was set up by the Central Bank of Nigeria (CBN) and the Federal Government of Nigeria (FGN) through the Federal Ministry of Agriculture to fast track the development of the nation’s agricultural sector by giving loans to medium and large scale enterprises.
The maximum obligor limit is N2 billion for medium and large scale private sector enterprises while there are no limits for state governments.
If you are a participating private sector business, you must have a minimum farm asset base of N50 million (excluding farm land).
Irrevocable payment order is required in the case of state governments.
What are the benefits of this facility? The facility comes with a single digit interest rate of (9% all-in-all max). It is available till 2025.
Who is qualified to apply? Medium and Large scale commercial farms involved in cultivation of crops, rearing of livestock, fisheries and other farmers.
Limited liability companies involved in agricultural production, storage; processing, marketing and enterprise development are also eligible to apply for this loan.
State governments and FCT (for on-lending/special intervention to small scale farmers) are also qualified and are encouraged to leverage on this funding to develop agriculture and agribusiness in their states.
How to Apply and the Requirements:
1. You need to send in a formal application for a credit facility.
2. Certificate of Incorporation
3. Memorandum and Articles of Association
4. Board Resolution to Borrow
5. Feasibility Study/Business Plan.
One point to take note of is that your project should not be a startup. That is, your business should not be just starting, you cannot use the fund to start a new agricultural business.
You must have been in the business before you can be considered for the facility.