The Central Bank of Nigeria (CBN) disbursed a total of N12.65 billion to three agricultural projects under the Anchor Borrowers’ Programme (ABP) between January and February 2023.
This disclosure was made by the governor, CBN, Mr Godwin Emefiele, during the post-Monetary Policy Committee (MPC) media briefing in Abuja Tuesday.
According to the apex bank boss, the recent disbursement brings the cumulative disbursement under the ABP to N1.0 trillion.
Emefiele said the CBN also disbursed N23.70 billion under the N1.0 trillion Real Sector Facility programme to eight new real sector projects in three key real sector areas: agriculture, manufacturing and services.
“The Committee reviewed the performance of the Bank’s various interventions aimed at stimulating production and productivity across the real sector.
“Between January and February 2023, the Bank disbursed N12.65 billion to three (3) agricultural projects under the Anchor Borrowers’ Programme (ABP), bringing the cumulative disbursement under the Programme to N1.09 trillion to over 4.6 million smallholder farmers cultivating or rearing 21 agricultural commodities on an approved 6.02 million hectares of farmland across the country.
“The Bank also released the sum of N23.70 billion under the N1.0 trillion Real Sector Facility to eight (8) new real sector projects in agriculture, manufacturing, and services.
“Cumulative disbursements under the Real Sector Facility currently stands at N2.43 trillion, disbursed to 462 projects across the country, comprising 257 manufacturing, 95 agriculture, 97 services and 13 mining sector projects.
“Under the 100 for 100 Policy on Production and Productivity (PPP). The Bank also released N3.01 billion under the Nigerian Electricity Market Stabilisation Facility (NEMSF-2) for capital and operational expenditure of distribution companies (Discos) aimed at improving their liquidity status and aid their recovery of legacy debt.
“This brings the cumulative disbursement under the facility to N254.39 billion,” Emefiele said.
The Anchor Borrowers’ Programme is a CBN single-digit Loan intervention scheme established by the Federal Government in 2015 for the purpose of boosting the agricultural sector of the economy. It is designed to create an economic linkage between smallholder farmers and agro-processors/Anchors.
The programme adopts a value chain approach that links Input to Production to Processing and to Market. The scheme is targeted at smallholder farmers in order to increase their access to quality agricultural inputs and, thereby, improve the quality of produce to meet international standards.
The broad objectives of the ABP include: improve access to finance, diversify the economy, create jobs and promote inclusive growth.
Sam Diala is a Bloomberg Certified Financial Journalist with over a decade of experience in reporting Business and Economy. He is Business Editor at THEWILL Newspaper, and believes that work, not wishes, creates wealth.
