HOW TO ACCESS BANK OF AGRICULTURE LOANS

bank-of-agriculture

 

  • Bank of Agriculture (BOA)Limited is Nigeria’s premier Agricultural and Rural Development Finance Institution.
  • 100% wholly owned by the Federal Government of Nigeria.
  • The ownership structure is: –
  • Central Bank of Nigeria (CBN) 40%
  • Federal Ministry of Finance Incorporated 60%.
  • Bank of Agriculture Limited is being supervised by Federal Ministry of Agriculture & also regulated by CBN.
  • BOA play an important role in catalysing the SME lending market in Nigeria

 

BOA LENDING SCHEME:
  • The Bank of Agriculture is well known for providing range of loans facilities that could be explored. These include:
  • AGRICULTURAL MICRO LOANS
  • NON-AGRICULTURAL MICRO LOANS
  • SME LOANS
  • COOPERATIVE & FARMERS GROUP LOANS
  • ON- LENDING LOANS
  • AGRI- BUSINESS LOANS
  • COLLABORATION –FUNDED & GUARANTEED COLLABORATION

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  • The micro loans scheme is a service that avails credit facilities for financing both Agriculture and Non-Agricultural initiatives and activities including traders, artisans, arable/field crops farmers, Fisheries, Horticulture, Agro-Processing, Livestock, Agric Produce Marketing, Tree Crop Production, etc
  • Micro credits are loans not exceeding N 250,000.00 for a period not exceeding two (2) years depending on the project type.
  • Under this scheme, loans can be granted to individuals and members of co-operative societies/groups.
  • Provision of two (2) acceptable guarantors & 20% lien deposit.
GROW AND EARN MORE-(GEM)
The product is an initiative targeted at women of all ages & classes in recognition of the place of women in Nigeria and to address the challenges to women’s access to finance.
  • Maximum loan limit of  N1 million per beneficiary @14% per annum subject to variation.
  • All applicants must open and maintain account relationship with BOA  Office nearest to their project location for a minimum period of 12 weeks before purchase and processing of loan application
  • Loan and Grace periods on the products  depend on the project type.
  • Under this scheme, loans can be granted to individuals and members of groups.
  • It is non collateralized loan but two (2) acceptable guarantors
  • There must be 10% lien deposit in the savings account.
  • This is an opportunity for increasing woman access to finance to enhance the growth of Woman- Owned Business in Nigeria.
  • All Activities along the Agriculture value chain are covered .
SME LOAN APPLICATION FOR INDIVIDUALS:
  • Individuals can access credit facility  up to maximum of a N 5,000,000.00 mainly for Agricultural Projects.
  • It is a collateralized loan
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COLABORATION & SPECIAL CREDIT:
  • BOA collaboration scheme is a partnership program that enables us to pool the resources of other agencies to grow the operations of our customers and our collaborative partners’ groups of interest.
  • We engage in collaborative ventures with international agencies, local agencies, Governments and NGOs.
  • Collaboration Loan/Special Credit Scheme to farmers involve an arrangement between BOA and Agencies of government/Groups/Individuals for disbursement of fund to identified groups or individuals at a determined interest rate which can be varied according to the market rate.
  • The condition for this type of collaboration is usually specified in a memorandum of understanding (MOU) in addition to the subject of the targeted group and in line with BOA lending conditions.

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INTEREST RATES
The interest rate can be varied according to the market rate, at present, the following are BOA interest rate:-
  1. 14% per annum for SME Agricultural production
  2. 14% per annum for SME Agro-processing
  3. 20% per annum for SME Agriculture Marketing
  4. 12% per annum for Micro Credit Loans agric
  5. 20% per annum for Micro credit loan (Non Agric)
  6. 14% per annum for YARN & GEM products
INSURANCE COVER
  • Our Loan facilities are insured with NAIC
  • Subsidized insurance premium of 1.5%, 7.5%, 2.5%, and 2.0% are being charged on         Non-Agric   Piggery, Livestock and Arable crop respectively.
REQUIREMENT FOR THE OPENING OF ACCOUNTS
  • Completed and signed Account Opening  Form
  • Completed Mandate / Signed Card
  • 3 (Three) recent passport photographs
  • A recent copy of Utility bill ( PHCN, Water ,etc.), photocopy only required
  • Signed Letter to the Bank
  • Signed Letter Of Set-Off
  • A photocopy of means of identification (National I.D Card, International Passports or Driver License)
  • At least, a minimum of N3, 000.00 as Initial Deposit.
  • [SOCIETIES, CLUBS, OR COMPANY ETC
  • Completed and Signed Account Opening Form
  • Completed Mandate / Signed Card
  • Three (3) recent passport photographs each from the Executives
  • A recent copy of Utility bill ( PHCN, Water etc), photocopy only required, to be submitted by the each of the Executive
  • Resolution to open Account with the Bank
  • Copy of Rules or Constitution ( Original copy to be sighted)
  • Memo and Articles of Association( Original copy to be sighted)
  • Certificate of Registration / Incorporation( Original copy to be sighted)
  • At least, a minimum of N10, 000.00 as Initial Deposit.
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25 thoughts on “HOW TO ACCESS BANK OF AGRICULTURE LOANS

  1. I already have account with BOA, the bottle neck is that the bank isn’t online, one must transport about 500naira from farm to the bank and this make savings to the bank really uneasy, can you please make it an online bank? Please

    1. We are not partnere with them, only giving guide lines . Since theu don’t provide any online platform.

      We will look into getting more online easy loan

  2. You people should do something more better. Your conditions are too stiff for farming projects. The last time I visited your office in Ibadan, I was introduced to a 25,000.00 loan as the easiest accessible, as an existing agricultural entrepreneur. The collateral demanded for loans in categories of millions of naira is difficult for most Nigerins to produce. Do something better please. Thanks and regards

  3. Good morning, please how can I access this loan, I’m a fresh graduate and of course I don’t have a collateral.. please is there any green light for me…if no please is there any way I can sell my business plans..if I can’t do it because I don’t have the money lemme just give it to some one that can buy it.. thanks in advance for your favourable response

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