The Central Bank of Nigeria has released N14bn to nine banks with respect to 14 commercial agricultural credit projects, thereby bringing the total releases by the apex body since inception in 2009 to N151.01bn.
The apex bank in a circular posted on its website on Thursday, said that the CBN had released N151.01bn for disbursement to 190 beneficiaries made up of 163 private promoters and 27 state governments that accessed N1bn each.
It said, “The sum of N984m (for Federal Capital Territory) was withdrawn from two deposit money banks in December 2011 due to contravention of the scheme guidelines.
“During the period, Delta State Government accessed CACS fund. The number of state governments participating in the scheme therefore stands at 27.”
“These state governments accessed funds for on-lending to farmers’ unions, co-operatives and financing of other areas of agricultural interventions in their various states. Projects monitoring exercise in the states were conducted during the year,” the bank added.
From the inception, according to the circular, 16 banks have participated till date under scheme. They include Access Bank Plc, Fidelity Bank Plc, First Bank of Nigeria Plc, Guaranty Trust Bank Plc, Skye Bank Plc, Stanbic IBTC Bank Plc, Union Bank of Nigeria Plc, United Bank for Africa Plc, Unity Bank Plc, Oceanic Bank International Plc, Zenith Bank Plc, Diamond Bank Plc, Sterling Bank Plc, Citibank Limited, Mainstream Bank Plc and Wema Bank Plc.
The circular added that the analysis of number of projects financed under CACS by value chain showed that out of the 163 CACS private sector sponsored projects, production accounted for 44 per cent and dominated the activities funded while processing accounted for 41.1 per cent.
It pointed out that the activities were distantly followed by marketing and storage which registered eight per cent and 6.75 per cent respectively.
“With regards to the value of funds released, processing accounted for 55.6 per cent followed by production which accounted for 29.1 per cent of the value of enterprises financed. These were followed by marketing and storage which registered 10.4 per cent and 4.9 per cent respectively,” it added.