FG, banks set aside N30bn to boost food production

The Federal Government, through the ministries of Finance and Agriculture and Rural Development, and the Deposit Money Banks operating in the country, on Tuesday in Abuja signed a Memorandum of Understanding to make the sum of N30bn available to stakeholders in the agricultural sector.The tripartite agreement, which was signed under the supervision of the Minister of Finance, Dr. Ngozi Okonjo-Iweala, would enable the beneficiaries have access to funds in any of the banks at seven per cent interest rate for the procurement of fertiliser and seedlings.Specifically, the amount will be used to finance the supply of seeds and fertiliser to Nigerian farmers during the 2012 farming season.Okonjo-Iweala said the aim of the scheme was for the Federal Government to effectively withdraw from agriculture.This, she noted, would encourage the full participation of the private sector, which was the only way the sector could experience rapid growth.With the signing of the MoU, she said the banks and other facilitators would raise the amount to help boost production and marketing of agricultural products.The amount, she noted, would be shared among five million farmers across the country and would be available to the farmers from December 29, 2011.The minister further explained that the objective of the Federal Government was to grow agriculture so that Nigerians could have cheap foods on their tables, have jobs for millions of young people and achieve food security
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