Agricultural lender disburses loans to the value of N$217 million amid COVID-19 pandemic

Agricultural lender, Agribank, despite the uncertainties brought by the COVID-19 pandemic, delivered solid financial results for a fifth consecutive year, according to an annual report for the 2020/21 Financial Year released on Thursday.

During the period under review, Agribank’s total loan book increased by 2%, while interest income increased by 1.2% owing to the prudent financial management coupled with an increase in the bank’s money market investments, Agribank Manager: Marketing and Communications, Rino Muranda said in a statement

Muranda said the bank managed to disburse loans to the value of N$217 million, benefiting a total number of 1,301 customers, and of this amount, a total of N$44 million dollars exclusively benefited female clients compared to 21 million Namibia dollars in the previous financial year.

“An amount of N$39 million was lent exclusively to the youth, while N$13 million was lent to communal farmers without collateral,” the report added.

Muranda said on the farmers’ capacity building front, a total of 13,948 farmers country-wide benefited from training and mentorship interventions by the bank, an increase from 8,035 during the previous period.

Going forward Muranda said the bank promised the shareholder to bring about a reduction in arrears ratios from 24 to 22%, embedding the loan application automation system, implementing the hybrid cloud solution, and use robotics for improved administrative efficiencies.