A significant development in commercial agriculture in Nigeria is under way with the final approval for a N200 Billion bond by the National Economic Council (NEC) in Abuja.

The NEC, chaired by Vice President Goodluck Jonathan and comprising all the State Governors and some key ministers, deliberated extensively on the proposed commercial agriculture development programme designed by the Federal Government to guarantee food security in the country.

Briefing journalist after the meeting, Minister of Agriculture and Water Resources, Alhaji Abba Ruma Sayyadi said NEC noted that the sector was prepared to provide about three million jobs in the next three years.

He disclosed that a N200 billion bond would be floated by the government to provide credit facilities to commercial farmers in the country, assuring that the facility would go a long way in boosting the development of agriculture and guaranteeing food security in the country.

Under the framework, the central bank of Nigeria (CBN) is expected to source the fund in the next few weeks.

End users will not pay more than 10 percent interest on loan while the apex body will subsidize the rest. Disbursement will be done by one or two banks which will bear the credit risk, THISDAY learnt.

Ruma also disclosed that the government would sign an MOU with a company from Thailand to produce rice on one million hectares of land. States such as Kwara and Benue has recently pursued commercial farming rigorously.

From: Juliana Taiwo in Abuja. (Thisday Newspaper)