Alhaji Idi Mukhtar, the Minister of Livestock Development, on Wednesday lauded the Development Bank of Nigeria (DBN) and World Bank-funded Livestock Productivity and Resilience Support (LPRES) financial intervention in the sector.
The minister made the commendation at the regional training for Small and Medium Enterprises (SMEs) and Participating Financial Institutions (PFIs) under the LPRES Project on Tuesday in Yola.
The News Agency of Nigeria (NAN) reports that the training was aimed at bridging financing gaps in the livestock sector and providing access to credit for farmers and value chain operators in the North-east.
Mukhtar said the approach of bringing PFIs, livestock producers and farmers together would help address the financing challenges in the sector.
The minister emphasised the importance of stakeholders understanding the dynamics of the livestock business and collaborating closely with farmers and producers to improve their access to credit facilities.
“I think we need to have that shift from a different perspective, what we have seen here today is a definite move from the normal to addressing the uniqueness of the livestock sector.
“We need to settle down with farmers staying together with our producers and understand the nature of the business to understand the dynamics of the sector and to be able to have access to credit facilities,” he said.
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Dr Tony Okpanachi, – LPRES for Managing Director, DBN, said the bank was driving the LPRES Project to improve access to finance for livestock value chain operators.
Okpanachi, who was represented by the Head of Business Development, Mr Ayodele Ojosipe, said the engagement enables banks and MSMEs to identify risks in livestock lending and jointly develop tailored financial products.
“The DBN, through its subsidiary, Impact Credit Guarantee Limited (ICGL), provides credit guarantees to de-risk transactions and encourage lending to livestock enterprises.
“The intervention offers an end-to-end financing solution, including site visits that allow banks to observe livestock farming practices and sustainable production methods firsthand,” he said.
Mrs Heather-Ronke Akanni, a Value Chain Consultant, under the LPRES Project, stated that the six-year programme, ending in 2028, is being implemented in 20 states and covers poultry, piggery, sheep, goat, dairy, hides and skins value chains.
Akanni said the project also focuses on herders/farmers’ conflict prevention and market linkages, while preparing SMEs to meet loan requirements through capacity building.
“The SMEs must meet specific requirements to access the loans hence the need for capacity-building training on bridging gaps in agribusiness financing.
“The training is also aimed at preparing beneficiaries, changing their mindset and emphasising the importance of financial readiness,” she said.
One of the participants, Mrs Cicilia Dauda, said the training was crucial for poultry farmers and other livestock producers.
Dauda said the training also provided guidance on accessing loans to expand operations and acquire essential equipment.
