Farmer Loan: Oyo State Signs MoU with Financial Institutions 

In its bid to support with palliatives, the Oyo State, Southwestern, Nigeria, Government has signed a Memorandum of Understanding (MoU) with participating financial institutions as part of efforts to ensure a hitch-free disbursement of N1billion single digit loan to farmers.

The Commissioner for Information and Civic Orientation, Prince Dotun Oyelade, disclosed in a statement that the disbursement is part of the state government’s palliative measures under the Sustainable Action for Economic Recovery (SAfER).

In his address during the signing held at the Boardroom of the Agricultural Credit Corporation of Oyo State, ACCOS, the Chairman of ACCOS, Sheik Taofeeq Akeugbagold, said the move was necessary to fast-track the disbursement of the loan to the beneficiaries and accredited farmers.

He explained that the board had observed a delay in the disbursement process of the single digit loan by some participating banks in the early part of December, after the official flag-off of the disbursement.

Akeugbagold maintained that the government was interested in alleviating hardship encountered by farmers in the state, occasioned by the removal of fuel subsidies in the country.

He, therefore, urged the authorised financial institutions to fast-track disbursement of the loan to the accredited farmers, noting that more funds would be released as soon as the N1b loan is disbursed

In his remarks, the Corporation’s General Manager, Comrade Emmanuel Ogundiran, disclosed “that government had graciously approved that Officers in Local Government Service, as well as Teaching Service Commission, TESCOM, teachers could equally serve as guarantors for farmers who are interested in the loan, so as to reduce problems earlier presumed by the farmers.”

Ogundiran enjoined the financial institutions to attend to farmers without further delay as the board would ensure availability of funds.

In his reaction, “the Zonal Manager, Southwest, Bank of Agriculture, Mr Hakeem Esho, promised to put more efforts into the disbursement of the loan, stressing that his organisation had commenced disbursement, and would intensify the efforts.” 

Esho implored other finance institutions to commence disbursement without further delay.

The accredited participating financial institutions for the disbursement of the single digit loan are: Bank of Agriculture, Ibadan, Oyo and Ìséyìn; Igbo-Ora Microfinance Bank; Onibuore Microfinance Bank; Randalpha MFB; Ifedapo MFB and Igboora MFB.

Shakirat Sadiq