BANK Windhoek has implemented various strategies to minimise the effects of the current drought on farmers.
The strategies are a response to the government’s state of emergency declaration on the current drought affecting the country.
Through this, an internal committee has been established to look at both commercial and communal farmers’ exposure, and to find innovative ways to mitigate the impact of a loss of income on their financial obligations.
The bank will place a key strategic focus on stakeholder engagements in the next few months to add value and be a ‘connector of positive change’ within the farming sector.
The vehicle and asset finance department is offering ‘John Deere’ bush equipment, which will enable farmers to become sustainable in producing animal fodder. The initiative, known as ‘Bush-to-Feed’, refers to the production of animal fodder, using invasive bush.
Moreover, the bank is also supporting the ‘Dare to Care’ initiative with a N$500 000 donation.
Bank Windhoek’s managing director, Baronice Hans, said as a partner of the agricultural community, her bank is aware of the difficulties faced by farmers at this time.
“As a Namibian bank, it is our duty to assist Namibians affected by the adverse conditions brought on by the drought. With our humble contribution, we hope to assist farmers prepare their animals for market, and try to save their core breeding herd for when the rain returns,” she added.
The ‘Dare to Care’ initiative was established recently by the agricultural sector and the Namibian private sector. These sectors pledged to assist all producers survive the drought, including communal, emerging and commercial farmers countrywide.
“I encourage other businesses and individuals to assist farmers in whichever way possible. Farmers are essential for our country’s food security. By assisting, you are contributing to Namibia’s economic future,” Hans said.
The Namibia Agricultural Union’s executive manager, Roelie Venter, who is also a representative of the Dare to Care Fund, thanked the bank for its contribution.
“With the help of the business community, we can achieve our goal to ensure a sustainable future for our farmers. So far, the fund stands at N$5,45 million,” he said.
Agribank had roughly a fortnight ago offered farmers countrywide drought relief initiatives as a way to support them after the drought was deemed a crisis.
The bank said the relief comes in two forms, and the first form is a payment relief on both arrears and instalments for 2019.
This means that clients who are in arrears will be required to pay 45% of their arrears, after which the remaining arrears will be capitalised.
“An additional two years will then be added to the client’s loan period to give them more time to repay the remaining amount. The capitalisation of the remaining arrears effectively means that the client will no longer be in arrears, unless they fall into arrears again in the future,” the bank said.
Agribank further said clients who might not be able to pay the required 45% once-off could pay it off in manageable amounts until 30 September 2019.
– charmaine@namibian.com.na; Twitter: Char_Ngatjiheue.
SOURCE: The Namibian