The Agricultural Finance Corporation (AFC). [Photo: Daily Nation]
President Uhuru Kenyatta, has waived up to Sh1.5 billion in loans owed to the Agricultural Finance Corporation (AFC) by distressed farmers in Kajiado, Narok and Baringo counties.
The action is part of a broader agenda to ease financial pressure on farmers across the country to promote renewed investment in a key sector of the economy.
The loans were taken to support wheat, sorghum and livestock farming, but capricious weather led to heavy farm losses and farmers were unable to repay. State House spokesperson, Manoah Esipisu, said, Monday morning.
AFC had continued to hold onto land title deeds taken as collateral for the loans.
Uhuru directed the National Treasury, working with AFC, to ensure that farmers are handed back their title deeds to ease pressure on them and to allow them take other investment decisions.
“Samburu was also affected by the AFC distress and the president is likely to announce similar relief when he visits the county in the coming days,” said Esipisu.
“The waiver in respect of the AFC loans is the latest in unprecedented relief the president has ordered over the last 3 months for distressed farmers as part of his agenda to bolster agriculture,” he added, in a statement.