CBN Interest Rate On Agric Loans Outrageous — Ogbeh

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“Agric loans” The Minister of Agriculture and Rural Development Audu Ogbe criticized the nine per cent interest rate on agricultural loans provided to farmers under the anchor borrower scheme of the Central Bank of Nigeria (CBN), describing it as outrageous.

Ogbeh, who spoke at the second conference of the Food for the Future Nigerian Agricultural Policy project in Abuja yesterday, said that growth in the agricultural sector can not be sustained with a 25 percent or 9 percent interest rate

He wondered if it was possible for the economy to grow against the backdrop of an interest rate that lasted more than three decades.

“What can you do with a 25 percent or even a ninth interest rate? Why do we ask why poverty is growing, why can not the private sector grow, the economy can not grow? “- he asked.

The minister said that the developers of monetary policy should not give the final word on the interest rate of the country.

READ MORE: Agricultural Sector Value To Hit N91trn By 2050

“The current trend can not support the growth of the country, and the interest rate can not remain at 25 percent or 9 percent and support growth in agriculture.”

According to Ogbe, “agriculture for the past 15 years has received only three percent of bad credit, as 430 Nigerians are in arrears in the amount of 4.3 trillion dollars, which are currently held by AMKON.

About 60 million farmers received only three percent.

CBN Interest Rate On Agric Loans Outrageous  —  Ogbeh
CBN Interest Rate On Agric Loans Outrageous — Ogbeh

“Business owners can get a loan of N250 million to manage the airline, but it’s difficult for an average farmer to get N250,000 to start their farm.”

The minister named farmers as voluntary slave owners.

“This is because if they cost so much labor spent on food production, we would not be able to buy it.

But since the government teaches farmers to cost their labor, Nigerians should not complain about food prices. ” (agric loans)

For him, the only way out is to intervene with the government, supporting agriculture, as is done in other countries.

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