ADB’s loan to agric sector hits ¢1bn
The Agricultural Development Bank PLC (ADB) investments in the agricultural sector has seen a steady growth with total agricultural loan stock increasing from ¢453.20 million as of December 2016 to ¢993.50 million as of September 2022.
This excludes the huge volumes of non-funded facilities such as letters of credits and guarantees granted for the purchase of agricultural inputs, machinery, equipment and raw materials.
The over 119% increase has come on the back of strategy to refocus the bank onto its original mandate to provide financial intermediation to the agricultural sector with the aim of using the agriculture sector as a means of wealth and job creation for the ordinary Ghanaian.
The bank has been an active partner for the implementation of the novel One District One Factory (1D1F) and so far about 20 companies have received financial support of over ¢100. Examples being the Ekumfi Fruits & Juices Limited, Kumasi Jute Factory, Weedi Africa Tomatoe Processing Factory and Kaad Integrated Limited.
The bank has over the years imported outboard motors for sale to fishers at cost either under lease financing or through direct sales. It is supporting the Fisheries sector imported 1,300 outboard motors made up of 1200 (40HP) and 100 (15HP) Yamaha products at a cost of ¢19.8million for the Ministry for Fisheries and Aquaculture Development and the Coastal Development Authority.
The bank absorbed all incidental and related costs amounting to about ¢7.0 million which will have been a cost to fishers.
To further contribute to government’s effort at reducing the importation of poultry into the country, the bank this year announced the implementation of the Broiler Revitalization Programme with poultry farmers in the Bono region being the first beneficiaries.
Set up for the purpose of developing the agricultural sector, ADB with 87 network branches nationwide remains the only bank in the country with branch locations in mainly agricultural prone areas like Sefwi-Wiawso, Juaboso, Dormaa Ahenkro, Enchi, Savelugu, Nkoranza, Goaso, Denu, Juapong, Sefwi Essam, Sogakope, Bonsu Nkwanta, Apemenim etc.
The bank remains the ultimate sponsor of the overall prize to the National Best Farmer, in the past built a fully furnished three-bedroom house was built at a place of choice for the National Best Farmer.
A total of over 15 houses has since been constructed in different regions across the country for 15 National Best Farmer Award Winners.
In 2017, following strong advocacy and presentations by the Ministry of Food and Agriculture, Past National Best Farmers, a decision was taken to change the first price to a cash prize.
This is to enable the award winners invest the fund to expand their businesses and provide additional employment.
So far, the Best Farmers have prudently utilised their prize monies to expand their businesses.
As the lead sponsor of the award, the bank also organises a welcome cocktail for all Awardees and also a National Farmers Forum.
The bank has also received several recognitions for supporting the development of the agricultural sector, notably include the Best Cocoa Financing Institution, the One District One Factory Financing Institution, Industry Leadership Award in Agricultural Financing, Corporate Social Responsibility Award, etc.
“We believe in agribusiness for wealth creation and the Agricultural Development Bank Plc will remain committed to the Agribusiness sector of the economy, outgoing Managing Director, Dr. John Kofi Mensah mentioned.
Ayekoo to our gallant Farmers and Fishers.
Source: Ghana News
