The Sunday News
Senior Farming Reporter
THE Agricultural Development Bank of Zimbabwe (Agribank) will extend part of $30 million it received from the Government to capacitate fishing co-operatives in Binga, an official has said.
Agribank Bulawayo branch manager Mrs Scholastica Madibha said the bank had been capacitated and would lend the money to businesses for both startup expenses or to pay for expansions.
The state-owned bank, whose core mandate is to fund the agriculture sector, has been battling to boost performance in the last few years owing to, among other things, low capitalisation.
“We recently received $30 million, which we intend to largely utilise for on-lending purposes. We have realised that in Matabeleland unlike in other areas, animal husbandry is the most successful farming business.
“Thus the loan facility will be open for those in pen fattening projects only because that’s the most viable business. However, Agribank is open to fund projects as long as they prove to be sustainable,” Mrs Madibha said.
The Agribank branch manager said the financial institution continued to explore various projects to fund and hinted that it was working on modalities to extend its loan facility to fishing co-operatives in Binga.
“We are in the process of coming up with a product aimed at funding fishing co-operatives in Binga. We are trying out modalities to see how in terms of making capital requirements with their rigs, storage facilities and other assets they can manage. However, the process is still at its infancy,” Mrs Madibha said.
Binga Rural District Council chief executive officer Mr Joshua Muzamba said the move by Agribank would be welcomed if it comes to fruition as most communities living in the drought prone district eked their living through fish farming.
“As a stakeholder, I say the move by Agribank is welcome and highly appreciated as it will assist the fishing co-operatives with working capital which they solely need as their rigs are becoming worn out.
“It’s actually easier for the fish co-operatives to access Agribank here because it has a branch. I therefore encourage other financial institutions to consider the same because fish farming is the mainstay for most of the people living along the shore of the lake,” Mr Muzamba said.
