In a major development that promises to reshape Kenya’s agricultural landscape, President Ruto has unveiled a groundbreaking plan to provide farmers with more affordable loans. Addressing a spirited crowd at a rally in Nakuru, Ruto announced an allocation of 10 billion shillings to bolster the Agricultural Finance Corporation (AFC), paving the way for significantly reduced interest rates capped at 8% for loans – a move that is poised to transform the fortunes of farmers across the nation.
President Ruto emphasized that the newly accessible loans will empower farmers to procure vital agricultural inputs such as seeds, fertilizers, and pesticides, thereby catalyzing higher productivity and ultimately reducing food prices for all Kenyans. This visionary initiative comes as a resounding endorsement of Ruto’s unwavering commitment to fostering sustainable growth within the agricultural sector.
“I believe in the potential of our farmers. They are the backbone of our nation, and it is imperative that we provide them with the support they need to thrive. Cheaper loans will spur production and create a more prosperous future for all Kenyans,” President Ruto passionately stated.
Key highlights of President Ruto’s transformative plan include:
Affordable Loans: The decision to cap interest rates at 8% is a remarkable departure from prevailing market rates, which will directly alleviate the financial burden on farmers seeking to expand their operations.
Agricultural Finance Corporation Enhancement: President Ruto underscored his commitment to streamlining the AFC’s operations by acknowledging the significance of efficient fund disbursement. By optimizing its processes, the AFC is poised to reach a wider range of farmers, particularly those in remote and underserved areas.
Empowerment through Education: President Ruto’s blueprint encompasses comprehensive training initiatives to equip farmers with essential financial literacy skills. This ensures that loans are utilized effectively and farmers can strategically manage their enterprises to achieve sustainable success.
The Kenya National Farmers’ Federation (KNFF) wasted no time in voicing its enthusiastic endorsement of President Ruto’s ambitious vision. KNFF Chairman Peter Munya applauded the decision, labelling it a “game-changer” for farmers nationwide. Munya expressed confidence that the reduced loan rates would galvanize agricultural growth by empowering farmers to make investments that elevate their productivity and yield.
Munya further lauded President Ruto’s intent to fortify the AFC, noting that this move addresses a longstanding hurdle – inadequate resources. He affirmed, “A more efficient AFC is a step in the right direction. With the increased availability of funds, we can envisage a thriving agricultural sector that truly propels Kenya forward.”