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Nigerian agri sector to receive US$240mn aid

Nigeria-based First City Monument Bank (FCMB) has announced it will invest US$240mn in the agriculture sector of the West African country

Ladi Balogun, CEO of FCMB, said, “This investment in agriculture financing represents eight per cent of the bank's total loan portfolio of US$3bn. In 2014, the bank invested around US$180mn or six per cent of its US$3bn loan account in agriculture.”

Balogun added that the bank will also intensify its support to the agricultural sector and its value chain in order to fast-track the growth of the Nigerian economy.

“The bank is focused on being a strategic partner to the government and other stakeholders in the agricultural sector to ensure food sufficiency, employment and revenue generation, in line with its value as a helpful financial institution. We have been providing various lines of credit to the agriculture sector and its value chain, including small and medium scale businesses. This funding has been on the rise and we are determined to grow it to 21 per cent within the next three years as against nine per cent in 2014,” noted the CEO.

In 2014, FCMB provided funding worth US$600,150 to the Tractor Owners & Hiring Facilities Association of Nigeria (TOHFAN) for the acquisition of tractors, which have been distributed to farmers in Kaduna State.