Agribank and NDC sign financing deal

Agribank and the Namibia Development Corporation (NDC) have signed a one-year agreement in terms of which Agribank will finance the purchasing of cows by farmers in the northern communal areas from the NDC's Kavango Cattle Ranch.The number of cows to be financed through this agreement will be limited to 15 per client. The purchase price will be either 80% of the market value or a fixed rate of N$20 per kilogram, whichever is the higher.Financing will be subject to Agribank's credit policy and upon approval final livestock selection will be done by the NDC and the customer. The animals will be handed over to the buyers and the NDC will then issue an invoice to Agribank for payment. Payment will be made directly to the NDC.Speaking at the signing ceremony, Agribank CEO Sakaria Nghikembua said the agreement was just one of many initiatives by the bank to improve communal farmers' access to financing.“As the agricultural bank, we have a duty to ensure inclusivity so that we can make a bigger developmental impact in our country. Extending financing to farmers in the NCA will no doubt improve their production output, as food security at a household level is one of the expected outcomes of the socio-economic development pillar of our strategic plan. It is therefore imperative that we develop ways and means to cater for this distinct segment of our market,” Nghikembua SAID.The acting managing director of NDC, Pieter de Wet, added that as development partners accountable to the same sole shareholder, this deal could not have come at a more opportune time when excellence is expected to take centre stage in agricultural production.The NDC's Kavango Cattle Ranch is located just above the veterinary cordon fence, with corridor status, and has been operating for more than 20 years focusing on beef production. “It is therefore only prudent that NDC participates in initiatives aimed at supporting communities in its areas of operation. Given the quality of animals produced at KCR, we are confident that sharing our top breeds with farmers in the NCA will go a long way in infusing quality genetic material in the northern regions,” De Wet said.He said the partnership between Agribank and NDC gave real meaning to the empowerment of people at grassroots level. Hitherto excluded sectors of the community would now have access to funding at affordable rates and would be able to acquire quality breeding stock for improved agricultural output.STAFF REPORTER

Agribank and NDC sign financing deal

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Namibian Sun 2025-03-12

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Agribank and NDC sign financing deal

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Namibian Sun 2025-03-12

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