By Business Reporter
AGRIBANK has, with effect from 31 March, lifted a moratorium that prevented commercial bank clients from moving their agricultural loan accounts over to the banking parastatal.
Commenting on the move, Agribank Chief Executive Officer, Sakaria Nghikembua, said that the lifting of the moratorium was a strategic effort to grow the bank’s loan book.
Nghikembua said that applications in this regard, received during the moratorium period, which had previously not been processed, would now be considered, in order to ensure fairness.
In June 2016, Agribank placed a moratorium on providing loan funding to clients, who wanted to move their agricultural loan accounts from commercial banks.
“This move was necessary to gain an enhanced understanding of the nature of the debt being taken over, and to appropriately reconfigure the bank’s systems, to accommodate the debt takeover product. In the meantime, Agribank has reconfigured its information technology systems, to improve its capability to accurately analyse and monitor the performance of these loan accounts,” Agribank said.
Confidente. Lifting the Lid. Copyright © 2015