Minister of Agriculture and Rural Development, Chief Audu Ogbeh, has lauded the Central Bank of Nigeria (CBN) and Bankers’ Committee on the agreement to offer single-digit interest rate loans to operators in the agricultural and manufacturing sectors of the economy.
The facilities would come from Deposit Money Banks’ cash reserve held by the apex bank. The minister’s Special Adviser on Media, Dr. Kayode Oyeleye, quoted the minister as describing the development as “a remarkable progress in government’s efforts towards boosting the real sector to which agriculture is pivotal.”
He noted that the CBN’s move was in compliance with the Presidential directive to lower lending rates to the productive sectors of the economy on which the minister had repeatedly assured Nigerians.
Chief Ogbeh described the cooperation of the banks with the CBN on the use of their CRR to support the agricultural sector through the single-digit lending as commendable. He explained that the single-digit facilities would help revive many ailing and moribund projects and invigorate the weak ones that desperately needed injection of funds to survive.