Business Hilights
Tracking Nigeria's Headline Business News Online

Access Bank pulls $250m to drive MSMEs in agric sub-sector

In a show of keying in to the federal government agro-driven diversification, Access Bank Plc has said it will provide funding for the Micro, Small and Medium Enterprises (MSMEs), at an attractive interest rate.

Executive Director, Business Banking, Access Bank Plc, Titi Osuntoki, said the bank had secured not less than $250m from multilateral agencies to be released as low-interest funds to the MSME sub-sector of the Nigerian economy.

Giving insights in Abuja at bank’s customer forum on agribusiness, she averred that already, the bank had raised funds through its partnership with International Finance Corporation, Netherlands Development Finance Company, Bank of Industry and the Central Bank of Nigeria.

The funds would be channelled to the MSME sector at low-interest rate, noting that the bank would increase its funding to the agricultural sector.

Continuing, Osuntoki added that “Our partnership with the International Finance Corporation and Netherlands Development Finance Company over the years and more recently the Bank of Industry and the Central Bank of Nigeria on the Micro, Small and Medium Enterprises Development Fund is aimed at promoting the growth of this important economic sector.

“We have secured not less than $250m from these multilateral agencies aimed at channelling low-interest funds to the MSME sub-sector of the Nigerian economy.

“We will provide funding support as well as qualitative capacity development support to viable economic sectors that offer significant opportunities for employment and wealth creation. Our investment in these sectors will lead to value accretion, which is in congruence with our corporate ideals.”

According to her, Access Bank was driven by the outlook for the agricultural sector which was encouraging, saying “We appreciate the opportunity given us in Access Bank to collaborate with you towards the social and economic transformation of our country”.

In his remarks, Group Head, Agric Desk of the bank, Mr. David Ajayi, said Access Bank would continue to adopt the value chain approach to agricultural lending, stressing that “Agriculture has, in this outgoing year, attracted favourable government policies and this is expected to continue in the New Year. There are also many intervention schemes to improve access to finance”.