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By Thomas West/ 0888972432/0775084260/[email protected]
Margibi County, Liberia – President Joseph Nyumah Boakai has unveiled a bold plan to establish an Agriculture Bank to address the financial challenges faced by farmers and agribusinesses in Liberia. The announcement came during the opening ceremony of the 2024 National Agriculture Fair held in Margibi County.
The proposed Agriculture Bank aims to provide affordable financing to smallholder farmers, agribusinesses, and cooperatives to boost agricultural production and ensure food security across the country. President Boakai emphasized the critical role agriculture plays in Liberia’s economy and its potential to significantly reduce unemployment and poverty.
“This initiative will empower our farmers and transform Liberia into a hub of agricultural innovation and productivity,” President Boakai declared. “It is high time we invest in the backbone of our nation’s economy and provide the tools and resources our farmers need to thrive.”
The Agriculture Bank will focus on offering low-interest loans, facilitating access to modern farming technologies, and supporting youth-led agricultural initiatives. This aligns with the administration’s broader agenda to revitalize the agricultural sector and make Liberia self-sufficient in food production.
The President’s announcement was met with applause from stakeholders in the agricultural sector, including smallholder farmers who expressed optimism about the prospect of accessing affordable credit to expand their operations. Stakeholders at the fair described the initiative as a long-overdue step in revitalizing Liberia’s agricultural sector
Samuel Togba, a smallholder farmer from Bong County, said, “This is the kind of support we’ve been waiting for. Access to credit will help us improve yields and create sustainable livelihoods.”
The National Agriculture Fair, which brought together farmers, agribusiness leaders, and policymakers, showcased the latest advancements in agricultural practices, technologies, and products. It also provided a platform for discussing challenges and opportunities in the sector.
The Fair showcased a variety of locally grown produce, innovative farming tools, and success stories of smallholder farmers. It also highlighted the critical role of agriculture in Liberia’s economy and its potential as a driver of income generation.
The President’s call for increased collaboration among stakeholders highlighted his administration’s commitment to transforming agriculture into a cornerstone of Liberia’s economic growth.
President Baokai also reaffirmed his administration’s dedication to agricultural development, calling on Liberians to support the sector as a major source of income and national pride. The proposed Agriculture Bank, he said, will be a testament to the government’s efforts to prioritize farmers and create an enabling environment for agricultural success.
As plans for the Agriculture Bank take shape, Liberians are hopeful that this initiative will mark a turning point in addressing the financial barriers hindering agricultural development in the country.
Smallholder farmers across the country often lacked the assets or land titles required as collateral to secure loans. Many operate on communal or informal land tenure systems, making it difficult to meet conventional banking requirements. In Liberia, commercial banks typically charge high interest rates for agricultural loans due to perceived risks, including crop failures, market fluctuations, and extreme weather conditions. These rates are often unaffordable for small-scale farmers.
Another nightmare for smallholder farmers is that rural areas often have limited access to financial institutions. The absence of bank branches and other financial services in these regions creates a logistical barrier to accessing credit. This is also compounded with many smallholder farmers lack the financial literacy needed to understand loan products, navigate loan application processes, or manage funds effectively. This knowledge gap discourages them from seeking credit or leads to mismanagement of borrowed funds.
