NIRSAL secures N232m from banks to boost poultry production, cocoa export in Cross River

The Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL) says it has secured N232 million credit facility from two banks to finance poultry production and cocoa export in Cross River state. 

Aliyu Abdulhameed, NIRSAL managing director/CEO, announced this during the agency’s credit risk guarantee-backed project launch with Gbagolo Integrated Farms Limited and TOAJ Nigeria Limited in Akpabuyo, Cross River.

NIRSAL said it guaranteed a total commercial bank loan of N81.8 million from Union Bank to Gbagolo Integrated Farms and N150 million from Sterling Bank to TOAJ Nigeria.

“This huge investment translates to the creation of jobs, driving the growth of rural economies, and positively impacting Nigerian lives,” Abdulhameed said.

“This follows the issuance of a 50 percent Credit Risk Guarantee (CRG) and 20 percent Interest Drawback (IDB) by NIRSAL Plc on the respective loans of Gbagolo Integrated Farms Limited (a livestock producer) and TOAJ Nigeria Limited (a cocoa dealer).”

He explained that Gbagolo Integrated Farms would use the N81.8 million loan to finance the purchase of 25,000 points of lay birds, 25,000 capacity battery cages and feeding complements.

Meanwhile, he said TOAJ Nigeria would hannel its N150 million export/trade finance facility towards the sourcing and purchase of cocoa for export.

“The injection of these finances into the poultry and cocoa value chains in Cross River State will create a positive knock-on effect for players along each segment of both value chains and the agribusinesses’ host communities at large,” he added.

According to Abdulhameed, both projects align with NIRSAL’s bid to support SMEs across Nigeria.

Checks by TheCable show that NIRSAL has facilitated N123.40 billion in its portfolio for agribusiness across the country since its inception.

The agency also announced that it has about three million farmers on its database.