Some farmers’ associations in Oyo State have launched a microfice bank due to their inability to secure agricultural loans from conventional banks and high interest rates.
A board member of the Joint Farmers Microfice Bank in Oyo town, Oyo State, Mr. Muideen Adekunle, told the in Ibadan that the initiative was the joint effort of 187 cooperative societies.
As stated by Adekunle, the cooperative societies decided some years ago to establish the financial institution to serve farmers in the whole country.
The board member, who is also the current Chairman, Nigeria Cassava Growers Association in Oyo State, stated the JFMB was the first of its kind in the country.
He stated the bank, which commenced operations in Oyo on September 28, would have branches in Lagos, Osun, Ogun, Delta, Edo, Ondo, Ekiti, Kwara, Kogi states and the Federal Capital Territory in Abuja.
Adekunle urged farmers to buy shares of the new bank, saying it would serve their interest.
He lamented that some individuals in the past had duped Nigerian farmers under the guise of registering them for fictitious loans and grants.
Adekunle stated the founders the new bank were people of integrity who had the interest of ordinary farmers at heart.
“The NCGA headquarters has promised to link the Joint Farmers Microfice Bank to donors.
“We shall link the bank to the Small and Medium Enterprises programme of the CBN which is presently delivering N220bn facility,” he stated.
Adekunle stated although the NCGA was a strong catalyst for the birth of the bank, it would serve all farmers.
He urged NCGA members to lead the way by subscribing massively to the N100m capital requirement of the CBN for the bank to take off fully.
Adekunle stated the bank was coming at the right time as agriculture would now be the main pillar of the Nigerian economy given the dwindling revenue from crude oil.