Agriculture in Nigeria today is becoming a serious business among every household but irrespective of what is happening in the agricultural sector, a lot of farmers find it difficult in getting a loan despite the fact that the central bank of Nigeria (CBN) has allocated 200 billion naire to fund the agricultural sector.
Viewing this from an angle, the first problem faced by farmers is not getting the loan but being given proper information on how to get access to the loan. This has lead to serious problems in the country leading to farmers saying they have no access to agricultural loan facilities being disbursed.
In this article we are going to teach you exactly what it takes ,what to do and how to approach the proper financial and government institution to secure a loan for your agricultural business.
Steps To Follow In Order To Acquire A Loan In Nigeria;
Step 1: The first thing you need to know is the types of agric business that have access to loans,because some agricultural business have loans why others don’t have. Take a look at some agricultural business and products that can give you access to loan in Nigeria.
1) Cassava farming 2) Fish farming 3) Poultry farming 4) Cotton farming 5) Oil palm farming
6) Pig farming 7) Maize farming 8) Rice farming 9) Snail farming and more.
Step 2: Pay a visit to your state bank of agriculture (BOA) to know the full agric loan requirements and how you can proceed with your application for a loan.
IMPORTANT TIPS IN ACQIURING A BOA LOAN
- Before a loan is given to you in bank of agriculture (BOA), you need to have banked with them for at least six months.
- You must have saved 20% of the amount you want to borrow as loan from the bank.
Loan rates for micro-credit is 12%.
- You can get more information when you visit the bank of agriculture (BOA) or you can call the following phone numbers;
07042262222 or 07040202222
It may also excite you to know that, it is not only BOA that offer agric loans, some commercial banks do give loans to farmers but through federal government and other bodies. They following banks in Nigeria offer agricultural micro-loans for farmers. They are as follows;
1) Union bank 2) United bank of Africa 3) Stanbic IBTC 4) Firstbank and more and this also includes micro-finance bank nationwide, but remember this loan institutions will require you to present a financial statement showing your income statement so far.
New farmers would need to present a viable business plan for the institution to review. Also being a part of FADAMA,or applying for youth based initiatives loans are great ways to access loans in Nigeria today.
I hope this helps you access a loan today in Nigeria.
Please try to share this great information to friends and work collegues who are seriously searching for vital information on accessing agric loans.
You can also get a viable business plan for loan application and entrepreneurship competitions for a token. Just Email us @ firstname.lastname@example.org or call +2347039482540