Regulatory Alerts2021-10-14 | DFD/RAC/INT/RSP/02/095Revised Anchor Borrowers' Programme Guidelines
The Anchor Borrowers' Programme (ABP) is a Nigerian initiative to boost agricultural production and food price stability by providing loans to smallholder farmers and medium to large-scale farmers. The programme involves partnerships between farmers, agro-processors, and financial institutions, with the Central Bank of Nigeria (CBN) providing oversight and funding. The ABP aims to reduce food imports, diversify Nigeria's revenue base, and promote smart agriculture. Participating financial institutions include deposit money banks, development finance institutions, non-interest banks, and microfinance banks. The programme offers loans with a maximum limit based on CBN-ratified Economics of Production and validated land size, at prevailing intervention fund interest rates, and with tenors based on commodity gestation periods.