Adedapo Adesanya
By Adedapo Adesanya
The House of Representatives has mandated its committee on banking and currency to investigate disbursements of all agricultural loans and credit facilities to farmers.
This development follows the adoption of a motion raised by Mr Chike Okafor on the floor of the House on Wednesday, June 9 in Abuja.
Speaking on the motion, Mr Okafor said that the investigation should commence from 2009 since it was then the government started putting in measures to enhance national food security.
He said that from 2009 till date, the federal government has approved the disbursement of funds to farmers in various schemes to the tune of over N275 billion.
This according to him, ranges from a commercial agricultural credit scheme to Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL).
He said that the gesture was to help farmers to improve agricultural production and guarantee food security in the country.
According to him, since the approval, most farmers have not been able to access the loans due to stringent conditions attached to the loan despite claims that have been disbursed.
He said that the conditions attached by commercial banks from prospective borrowers had made it impossible for them to access the loan.
The lawmaker expressed concern that food production had not attained the expected level despite the approval of over N275 billion facilities to farmers.
Mr Okafor expressed worry that the projected diversification of the economy from an oil-based economy to an agricultural and manufacturing based one would not be achieved with the continuous method by which loans.
