Report On The Activities Of The N200 Billion Commercial Agriculture Credit Scheme (Cacs) - October, 2011

We present herewith, report on the position of the Commercial Agriculture Credit Scheme (CACS) for the Period January to October 2011:

1.0 State Government'S Patronage - Applications Received/ Processed

In October 2011, no State Government accessed CACS fund. The number of State Governments participating in the Scheme therefore remains twenty six (26) for the period January - October 2011. These State Governments accessed funds for on-lending to farmers' unions, co-operatives and financing of other areas of agricultural interventions in their various States. Analysis of the position of State Governments participation as at October, 2011 since inception in 2009 is shown below in figure 1 and table 1: Figure 1: Number of State Governments Financed under CACS by Regions

4 (15.38%) 7 (26.92%) 3 (11.54%) 4 (15.38%) 3 (11.54%) 5 (19.23%) Table 1: Disbursements Under CACS to State Governments

	Amount
Financing Bank	States Financed	(N'Bn)
1	Anambra, Enugu, Sokoto, Plateau, Cross
Fidelity Bank Plc	River	N5.0
2	Union Bank of Nigeria Plc	Gombe, Kwara and Niger, Bayelsa, FCT*	N4.5
3	United Bank for Africa	Bauchi, Kogi, Nasarawa, Ondo, Zamfara,
Plc	Akwa Ibom, FCT*, Edo, Ogun and Kano	N9.5
4	Zenith Bank Plc	Adamawa, Kebbi, Rivers and Taraba	N4.0
5	Access Bank Plc	Imo	N1.0
6	Guaranty Trust Bank Plc	Benue	N1.0
7	First Bank of Nigeria Plc	Osun	N1.0
Total: 6 Banks	26 State Governments	N26.0

Note: (*) - FCT accessed N0.50 billion each from UBA and UBN Plc respectively.

2.0 Actual Releases Of Funds By The Cbn To Banks

During the period under review (October 2011), the sum of N2.048 billion was released to 7 banks with respect to 7 CACS projects bringing total releases by the CBN since inception in 2009 to N137.352 billion.

			Amount Released
	Name of Bank	Number of Projects	(N'billion)
1	Sterling	1	0.100
2	Stanbic IBTC	1	0.134
3	Wema	1	0.04
4	FBN Plc (Enhancement)	1	0.185
5	Oceanic Bank Plc	1	0.35
6	Diamond	1	0.269
7	UBA PLC (Enhancement)	1	1.0
		7	2.048

Table 2: Performance of Deposit Money Banks (DMBs) under the Commercial Agriculture Credit Scheme (CACS) October 2011

Page 2 From inception to date sixteen (16) banks, namely; Access Bank Plc, Fidelity Bank, First Bank of Nigeria, Guaranty Trust Bank, Oceanic Bank Plc, Skye Bank, Stanbic IBTC, Union Bank of Nigeria, United Bank for Africa, Unity Bank Plc, Zenith Bank Plc, Diamond Bank Plc, Sterling, Citibank, Mainstream Bank and Wema participated under the Scheme.

Since inception, the breakdown of funds released by the CBN to all the deposit money banks (DMBs) that have participated under the Scheme is detailed in Table 3 below:

		Amount released to Banks
	Financing Bank	Projects	(N'Bn)
1	Access Bank Nigeria Plc	9	7.926
2	Fidelity Bank Plc	7	6.225
3	First Bank of Nigeria	46	14.951
4	Guaranty Trust Bank Plc	8	5.55
5	Oceanic Bank International Plc	2	2.350
6	Skye Bank Plc	6	8.667
7	Stanbic IBTC	20	8.476
8	Union Bank Plc	18	15.343
9	United Bank for Africa Plc	35	38.912
10	Unity Bank Plc	5	6.695
11	Zenith Bank Plc	10	15.335
12	Citibank	1	1.500
13	Diamond Bank	4	0.919
14	Sterling Bank	3	2.320
15	Mainstreet Bank(AfriBank)	1	2.000
16	Wema Bank	2	0.155
	Total	177	137.32

Table 3: Disbursements Under CACS by Deposit Money Banks (DMBs)2009 to date The CBN has released the sum of N137.32 billion for disbursement to 177 beneficiaries made up of 151 individuals/private promoters and 26 State Governments that accessed N1.0 billion each.

Page 3 Figure 2: Lending by Deposit Money Banks (DMBs) under the Commercial Agriculture Credit Scheme (CACS) by Number of Projects - As at October, 2011

50 45 40 35 25 20 15 10 e 0 Banks' Lending under the Commercial Agriculture Credit Scheme (CACS) Figure 3: in N' Billions As at October, 2011

First Bank , Sterling , 2.32 Mainstreet , 2 _Access , 7.926 _14.951 Diamond , 0.9 Citibank, 1.5 _ Wema, 0.155 Fidelity, 6.225 Zenith , 15.335 GTB, 5.55 Unity , 6.695 reanic , 2.35 Skye , 8.667 UBA, 38.912 Union Bank Stanbic , 8.476 3.0 BANK'S PERFORMANCE UNDER CACS SINCE INCEPTION CBN's REPORT ON THE COMMERCIAL AGRICULTURE CREDIT SCHEME (CACS) INTO THE OCTOBER, 2011 MEETING OF THE NATIONAL ECONOMIC COUNCIL (NEC) Page 4 Presented on table 3 below, is the summary of the activities of banks in Nigeria under the Scheme since inception:

Application	Approved
Received	Projects		Disbursement
Financing Bank	Priv	Private	States
ate	States	Private	States	(N'Bn)	(N'Bn)
1	United Bank For Africa Plc	98	18	25	10	29.412	9.5
2	First Bank of Nigeria Plc	214	4	45	1	13.952	1
3	Skye Bank Plc	7	0	6	0	8.667	0
4	Ecobank Nigeria Plc	0	0	0	0	0	0
5	Equitorial Trust Bank Plc	0	0	0	0	0	0
6	Fidelity Bank Plc	2	5	2	5	1.225	5
7	First City Monument Bank Plc	0	0	0	0	0	0
8	First Inland Bank Plc	0	0	0	0	0	0
9	Guaranty Trust Bank Plc	7	0	7	1	4.55	1
10	Intercontinental Bank plc	0	0	0	0	0	0
11	Citi Bank (NIB Plc)	1	0	1	0	1.5	0
Oceanic Bank International
12	Nigeria Plc	2	0	2	0	2.35	0
13	Platinum Habib Bank Plc	0	0	0	0	0	0
14	Diamond Bank Nigeria Plc	4	0	4	0	0.919	0
15	Spring Bank Plc	0	0	0	0	0	0
16	Stanbic - IBTC Bank Plc	20	0	20	0	8.475	0
Standard Chartered Bank Nigeria Plc	0	0	0	0	0	0
17 18	Sterling Bank Plc	3	0	3	0	2.321	0
19	Union Bank Plc	15	4	14	5	10.843	4.5
20	Access Bank Nigeria Plc	8	1	8	1	6.926	1
21	Unity Bank Plc	7	0	5	0	6.695	0
22	Wema Bank Plc	2	0	2	0	0.155	0
23	Zenith Bank Plc	8	4	6	4	11.335	4
24	Main stream	1	0	1	0	2	0
Total	399	36	151	27*	111.33	26

Table 4: Performance of Deposit Money Banks (DMBs) in Nigeria under the Commercial Agriculture Credit Scheme (CACS) Since Inception in 2009 Note: (*) - FCT accessed N0.50 billion each from UBA and UBN Plc respectively.

4.0 Withdrawal Of Funds

Page 5 No funds were withdrawn from Banks in the month under review. The value of withdrawals from banks stood at N24.084 billion for twenty-six (26) projects from eight (8) deposit money banks as at October, 2011 due to contravention of the Scheme's Guidelines. The details of the withdrawals are given below:

	UBA Plc	Seventeen (17) projects	N12.053 billion

Cacs Performance By Value Chain Distribution

Category	Number (%) of Projects	Value {N'billions and %}
Production	68 (45%)	35.91 {32.0%}
Processing	63 (41.72%)	61.76 {55.50%}
Marketing	11 (7.0%)	9.33 {8.0%}
Storage	9 (5.96%)	4.3 {3.85%}
	Total	151	111.30

The analysis of projects financed under CACS by value chain showed that out of the 151 CACS private sector sponsored projects, production accounted for 45% and dominated the activities funded while processing accounted for 41.72%.

These activities were distantly followed by marketing and storage which registered 7.0% and 5.96 respectively. With regards to value of funds released, processing accounted for 55.50% followed by production which accounted for 32.0% of the value of enterprises financed. These activities were distantly followed by marketing and storage which registered 8.0% and 3.85% respectively (table 5, figure 4).

Table 5: Analysis of CACS Financed Private Projects by Value Chain Page 6 Figure 4: Banks' Disbursements by Number of Projects under the Commercial Agriculture Credit Scheme (CACS) As at October, 2011 based on Value Chain Distribution

7.0 Position Of The Balance Of Cacs Funds

The balance of CACS funds as at October 2011 is N62.67 billion DEVELOPMENT FINANCE DEPARTMENT CENTRAL BANK OF NIGERIA ABUJA October 24, 2011 Page 7