CBN agric loan

In line with the Federal Government’s commitment to diversify the revenue streams of the country given the recent adverse developments in both the global market and the local oil sector, a lot of attention has been turned to agriculture.  In pursuing this goal of revamping the economy, the Central Bank of Nigeria (CBN) in conjunction with the Federal Government and other agencies and parastatals have initiated several lending schemes to fast track the development of the agricultural sector. Some of the lending initiatives include:

  1. Commercial Agriculture Credit Scheme (CACS)
  2. Agricultural Credit Guarantee Scheme Fund (ACGSF)
  3. Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL)

What are the Requirements?

  • Must be practicing farmer or agro-allied entrepreneur
  • Must have been in account relationship with HBL for minimum of 3 months.
  • Viable proposal
  • Positive CRMS report.

Who can apply?
Individuals in Paid Employment, Micro, Small farmers, Medium and Large scale farmers, NGOs, Govt and its agencies, Corporate Organizations


  • Maximum obligor limit is N2billion for medium and large scale private sector enterprises and N1billion for state governments.
  • The participating private sector entity must have a minimum farm asset base of N50million (excluding farm land)
  • Irrevocable Standing Payment Order is required in the case of State Governments


Target Market

  • Medium or Large Scale Commercial Farms involved in cultivation of crops, rearing of livestock, fisheries, etc.
  • Limited Liability Companies involved in agricultural production, storage, processing, marketing and enterprise development.

Unique Selling Tips

  • single digit interest rate (9% all-in, max)
  • fund available till 2025


  1. Letter of request from the borrower
  2. Board Resolution to borrow
  3. Letter of authority to conduct Credit Search and debit account accordingly
  4. Letter of authority to conduct search on property pledged as collateral and debit account
  5. Company’s Certificate of Incorporation
  6. Memorandum of Association of the company
  7. List and details of the company’s Directors
  8. Business Plan or Feasibility Report
  9. Statements of Accounts (Corporate/Personal) for at least 24 months
  10. Pro-forma Invoices (in case of asset purchases)
  11. Cash flow analysis for the last twelve months
  12. Projected cash flow analysis for the next 12 months or more (depending on the tenor of the loan)
  13. Valuation Reports (Bank Appointed Estate Valuer)
  14. Bill of Quantity (if construction is involved)
  15. List of existing off-takers or Clients
  16. Contract Agreement with off-taker
  17. Letter of irrevocable domiciliation of sales proceeds
  18. Audited  accounts for 3 years or Management Account in lieu
  19. Relevant Permits/Licenses/Approvals (where applicable)
  20. Verifiable Export Orders/Contracts or other Export Agreement & Arrangements/Commitments
  21. Environmental Impact Assessment (EIA) Report (where applicable)
  22. Copies of executed warehouse arrangements with acceptable collateral managers for structured trade transaction.
  23. Any other document(s) that may be required by CBN / NEXIM
  24. Farm/Project Visitation Report and Photographs
  25. Security/Collateral documents

CBN agric loan2



  1. Pingback: Information Corner
    1. Of course, Africans plan for the future, they have wonderful plans, but I think the major set back is sincerity of purpose on the part of the policy makers and those saddled with the responsibility of implementing the policies.

      Liked by 1 person

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