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Nigeria to pump $9.8 billion into bank of agriculture

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Staff Writer | April 11, 2017
The federal government of Nigeria plans to pump N3 trillion ($9.8 billion) into the Bank of Agriculture (BoA) with the aim of making farmers have access to fund at an affordable interest rate.
Nigeria farmer
Africa   An affordable interest rate
According to the government, access to funding remained one of the biggest challenges facing farmers in the country.

The Minister of State for Agriculture, Senator Heineken Lokpobiri‎ disclosed this in Abeokuta, Ogun State capital during the inaugural harvest of a Tillapia fish farm of Premium Aquaculture Limited, Oyan Dam.

He said commercial banks were not ready to fund agriculture, hence the decision by the federal government to recapitalise BOA was to facilitate the diversification of the country's economy to agriculture.

He therefore, disclosed that the nation's fish demand stood at 3.1 metric tonnes per annum but currently hovering around 1.1 metric tonnes per annum, leaving a deficit of 2.1 metric tonnes.

According to him, the government resorted to backward integration to encourage local fish farmers and bridge the gap between demand and supply.

He said: "When this administration came on board, the supply was around 800,000 metric tonnes per annum, but due to government policy on fishery by the ministry of agriculture, the country is now doing 1.1 metric tonnes per annum."