The Central Bank of Nigeria has called on depository banks in Kano State to fully participate in the Agricultural Credit Guarantee Scheme Fund to foster the development of the agricultural sector of the country’s economy.
The CBN Kano Branch Manager, Alhaji Umar Ibrahim Biu, made the call at the Kano Bankers Forum 2023 Dinner and Awards Night held at the Mina Event Center in Kano on Wednesday.
He said the call was necessary as currently only microfinance banks are participating in the scheme.
He noted that successful participation of financial institutions in the state in the ACGSF would lead to increased agricultural development, food security and economic opportunities for the people of Kano state.
“Only 575 applications were guaranteed for 2023, amounting to N94,289,000.
“The ACGSF was established to provide guarantees for loans by banks for agricultural purposes. We guarantee up to that point,” Biu said.
According to him, the ACGSF was also established with the aim of enhancing the nation's food security by increasing food supply and influencing the reduction of agricultural and product prices.
He added that the scheme will also reduce credit costs in agricultural production and enable farmers to tap into the untapped potential of the sector.
He therefore urged interested ACGS loan applicants to contact participating financial institutions to obtain an application free of charge.
Regarding security, the branch manager said that due to growing concerns within the banking industry that financial institutions are prime targets for criminals, the Banking Commission has purchased two police patrol cars and an armored personnel carrier for 4.6 million yen. He said it was repaired at a cost of Naira.
He said, “The vehicle is currently in good condition and the APC is permanently stationed at CBN Kano to respond to any threats that may be posed to the bank.”
He commended the Kano State Government and other stakeholders for their support and cooperation in achieving the bankers’ objectives.
In his speech, the Secretary of Finance, who represented Governor Abba Kabir Yusuf, pledged the state government’s commitment to continue partnering with the CBN and other commercial banks to move the state forward.
Highlights of the event include the awarding of prizes, a health lecture by CBN Kano Clinic Director, and a performance by the Coloso Cultural Troupe.
