The Edo Government says it has reached an agreement with the Central Bank of Nigeria (CBN) to secure N36.7 million loan for 150 farmers in Auchi in Etsako West Local Government Area.
Mr Joe Okojie, the Special Adviser to Edo state Governo, Godwin Obaseki on Agriculture and Food Security Programme, made this known during a meeting with farmers in Auchi.
He said that the venture was aimed at boosting food production in the state.
He disclosed that the state government had approved the Ozemhoya Multipurpose Cooperative Society as the off-taker of the loan scheme.
He said that the scheme was executed under a partnership between the Edo Government and the Anchor Borrowers’ Programme of CBN.
“We are going to sign a Memoradum of Understanding (MOU) with the farmers, CBN and the off-taker. Let me emphasise that this is a loan, which is going to be paid back to CBN. If you are able to pay the loan back, you will have access to more loans from CBN,’’ he said.
A representative of CBN, Mr Agbo Benedict, said that each of the farmers would get a loan of N245,000 at a single-digit interest rate of 9 per cent.
“At the end of the day, each of the farmer is expected to pay back 269,000,’’ he said.
The Chairman of Ozemhoya Multipurpose Cooperative Society, Dr Mohammed Abdullahisaid that loan would facilitate the farmers efforts to produce more food for local consumption and exports.
“We have been able to register 94 farmers under the society and each of the farmers would cultivate one hectare of land. The Auchi community has provided land for the project, while the state government would provide funds for land preparation and other farm inputs,’’ he said.