Tier 2 lender, Sterling Bank Plc has partnered the International Institute of Tropical Agriculture (IITA) to provide loans to potential IITA trained agripreneurs. The bank’s proposed loan scheme which amounts to N10 million will come with a 5 per cent interest rate.
The scheme offers a loan tenure of seven years and moratorium of up to 18 months for the principal and six months for interest.
The agribusiness financing scheme known as the Agribusiness Small and Medium Enterprises Investment Scheme (AGSMEIS) is a voluntary initiative of the Bankers’ Committee to support the Federal Government’s efforts and policy measures for the promotion of agricultural businesses and Small and Medium Enterprises (SMEs) as vehicles for sustainable economic development and employment generation.
Sterling Bank Plc had released its financial statements for the period ended June 2018.
Results for the half year show that interest income increased from N50 billion in 2017 to N62 billion in 2018. Profit before tax jumped from N4.3 billion in 2017 to N6.3 billion in 2018. Profit after tax also jumped from N3.8 billion in 2017 to N6.2 billion in 2018.
About the bank and IITA
Sterling Bank Plc (formerly known as NAL Bank Plc) was the pioneer merchant bank in Nigeria. It was established on November 25, 1960, as a private limited liability company, and was converted to a public limited liability company in April 1992. The bank was listed on the Nigerian Stock Exchange (NSE) on August 17, 1993.
The current entity is a product of the 2006 merger among Indo Nigeria Merchant Bank (INMB), Magnum Trust Bank (NBM), and Trust Bank of Africa.
On the other hand, International Institute of Tropical Agriculture (IITA) is a non-profit institution that generates agricultural innovations that are aimed at meeting Africa’s most pressing challenges of hunger, malnutrition, poverty, and natural resource degradation.
. The loan scheme is valued at N10 million.){kind=link}