Agricultural loan


This loan is meant for any type of agricultural activity; production, processing or distribution. (purchase of farm inputs, tools, machines, agro-processing, livestock farming, farm related expenses, etc )

Loan terms and conditions:


- To be a BPR client for at least 1 month
- To be a credit worthy client
- To be engaged in farming or farm related activities (eg. Agro-processing)
- Present a bankable farming project


- Loan amount depends on client’s payback capacity – income to be generated from the farming project
- Loan amount is equivalent to not more 80% of the cost of the farming project to finance.
- The client has to raise 20% of the cost as own contribution

Loan payment:
- Period is up to 5 years with possibility of a grace period for
certain projects,

- Payment can be monthly, Quarterly or Seasonal depending on
the cash flow of the agricultural project.

- Security:

Collateral should be equivalent to at least 125% of the financed project, it can be in form of:

- Soft collateral (cash, assets like cars, machines, livestock, etc)
- Hard collateral (real estate)
- Joint guarantee for associations and cooperatives
- Insurance cover for the collateral presented
- For those farmers/ projects qualifying for a special guarantee fund, they may not need to provide any collateral or provide part of the collateral.

Useful links