Government of the Republic of Benin (10.09.2020) The Council of Ministers took specific measures in the agricultural sector strongly affected by the effects of the COVID-19 pandemic. These measures have a total cost of 100 billion CFA francs distributed as follows: - 50 billion CFA francs intended to refinance banks and MFIs on the basis of their agricultural loan portfolios - 35 billion CFA francs intended for guarantee at 50% the loans of agricultural promoters and entrepreneurs - 15 billion CFA francs for the subsidization of the interest rates of the credits set up for the benefit of the beneficiaries.
- 50 billion CFA francs intended to refinance banks and MFIs on the basis of their agricultural loan portfolios
- 35 billion CFA francs intended for guarantee at 50% the loans of agricultural promoters and entrepreneurs
- 15 billion CFA francs for the subsidization of the interest rates of the credits set up for the benefit of the beneficiaries.
The Minister of Agriculture, Livestock and Fisheries, on Tuesday September 08, 2020 chaired the presentation ceremony of the National Agricultural Development Fund (FNDA) to banks and Decentralized Financial Structures (SFD). The event also allowed the signing of an agreement between the FNDA and the Professional Association of Banks and Financial Institutions (APBEF) on the one hand and between the FNDA and the Professional Association of Decentralized Financial Systems (APSFD) on the other. go.
At its meeting of July 29, 2020, the Council of Ministers took specific measures in the agricultural sector strongly affected by the effects of the COVID-19 pandemic. These measures have a total cost of 100 billion CFA francs distributed as follows:
- 50 billion CFA francs intended to refinance banks and MFIs on the basis of their agricultural loan portfolios
- 35 billion CFA francs intended for guarantee at 50% the loans of agricultural promoters and entrepreneurs
- 15 billion CFA francs for the subsidization of the interest rates of the credits set up for the benefit of the beneficiaries.
All of these measures constitute, according to Minister Gaston Cossi DOSSOUHOUI, a first in Benin and in the sub-region and give a new dimension to the FNDA, particularly in its window 3 "access to financial services". Today's event therefore allowed banks and SFDs to be presented with the overall functioning of the FNDA and its operational role in the implementation of measures specific to the agricultural sector taken by the government in the Council of Ministers on July 29, 2020. .
For Mr. Valère HOUSSOU, Director General of FNDA, the massive presence of managers at the high level of banks and SFDs, testifies to the will that together, the actors can transform Beninese agriculture by innovating through financial instruments. Mr. Lazare Komi NOULEKOU, President of the Professional Association of Banks and Financial Institutions (APBEF) sees these measures as “a strong signal, a paradigm shift in our economic model”. He reiterated the commitment of banks and financial institutions to play perfectly and professionally the score imposed on them by the signing of the framework agreement between the FNDA and their structures.
Restructured in 2017 by the government, the FNDA is the major public financing instrument for the agricultural sector in the Republic of Benin. It acts as a catalyst for private investment in the agricultural sector.