The Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL Plc) has since it’s inception facilitated over N128 billion for agriculture and agribusiness across the country.
Leveraging on its CRG that enable it share agribusiness risks with financiers, NIRSAL Plc facilitated the approval and disbursement of N231.8 million from Union Bank Plc and Sterling Bank Plc for Gbagolo Integrated Farms Limited and TOAJ Nigeria Limited projects in Akpabuyo Local Government Area of Cross River State.
While Gbagolo Integrated Farms Limited will use its N81.8 million Term Loan from Union Bank to finance the purchase of 25,000 Point of lay birds, 25,000 capacity battery cages and feeding compliments, TOAJ Nigeria Limited will channel its N150 million Export/Trade Finance facility from Sterling Bank for the sourcing and purchase of cocoa for export.
The injection of these finances into the poultry and cocoa value chains in Cross River State will create a positive knock-on effect for players along each segment of both value chains and the agribusinesses’ host communities at large.
Speaking at the official launch of the projects, Managing Director of NIRSAL, Aliyu Abdulhameed, said both projects is a testament to the fact that NIRSAL Plc is working to actualize its vision of “transforming the economy through support for agribusiness.
While noting that as a guarantor, NIRSAL Plc intervention continues to impacts the economy, the Managing Director urged all agricultural value chain stakeholders in Nigeria to leverage on its CRG as the collateral required for getting commercial bank financing for their agribusinesses, no matter their size or location.
Union Bank Plc’s Area Business Executive, Mr. Peter Akpaudoh, noted that despite the CRG provide to Gbagolo Farms, NIRSAL PLC will also offer technical assistance and round-the-clock project monitoring, a package that really makes lending to agriculture and agribusiness easy.