AGRIC LENDING: CBN SETS ASIDE N75BN TO REDUCE RISK
BY VINCENT UJUMADU
AWKA- Central Bank of Nigeria, CBN, has set aside N75 billion to trigger an agricultural industrialization process through increased lending and production and processing to boost economic earnings.
Deputy Governor of the CBN in-charge of financial systems stability, Dr. Kingsley Moghalu, who announced the decision at an international agricultural conference at Anambra State University, Igbariam, explained that a body known as the Nigeria-based Risk Sharing System for Agricultural Lending, NIRSAL, set up by CBN, is set to provide what he called the singular transformational, one- bullet solution to break the seeming jinx in Nigeria's agricultural lending and development.
Moghalu, whose lead paper at the conference was presented by Mr. Isaac Okoroafor, an Assistant Director in CBN, said with the fund, NIRSAL intended to leverage at least N450 billion from the balance sheets of banks, which would be channeled into agriculture value chain to provide jobs, create wealth, increase the income of farmers, processors and other people in agribusiness to reduce poverty.