A heated face-off is brewing between the Bank of Agriculture (BOA) and the All Farmers Association of Nigeria (AFAN) over the alleged non-repayment of a N20 billion loan the bank claims it gave to farmers across the country.
The controversy has stirred strong reactions, with both parties now locked in a blame game while the public demands clarity on how agricultural loans have been managed.
However, the Managing Director BOA, Ayo Sotinrin, has maintained that the bank will stop at nothing to retrieve the funds, stressing that it cannot afford to operate as a “free money” institution.
“We’re not in the business of largesse,” Sotinrin said. “We are not a political association or movement; we are a bank, even though it is owned by the government. We’re beginning an ‘operation recover loan’ to appeal to those who owe the bank to return our money.”
He added that debtors willing to settle their loans may still qualify for future financial support, but with stricter terms.
“If they are able to return their loans, they will be entitled to new loans but with a new condition. We plan to digitize the bank. We are almost there,” he said.
However, AFAN President Kabir Ibrahim has pushed back forcefully, rejecting claims that farmers benefited from such massive funding. He dared the bank to come clean and publish the names of those it claims are owing.
“I challenge the bank to publish the names of farmers that collected loans,” he said. “I can tell you that farmers did not collect money from the Bank of Agriculture. Even the Anchor Borrowers Scheme by the Central Bank of Nigeria (CBN), how many farmers actually benefitted?”
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In a related development, the Food and Agriculture Programme Officer at ActionAid Nigeria, Azubike Nwokoye, in his reaction said the issue isn’t about real farmers, but rather political beneficiaries hiding under the guise of farming.
According to him, many of the loans were granted based on political directives rather than genuine agricultural needs.
“Sometimes there is a lot of political interference. The governors, senators, even the presidency can say, ‘Give money to this particular person or people.’ This is one of the reasons we have debt,” he said.
He also questioned the sincerity of the government in funding the agricultural sector, especially when previous promises of recapitalisation have failed to materialize.
“There is a need for the government to make financial commitments. The capitalisation should be cash-backed,” Nwokoye insisted.
“They speak on it and they don’t release the money. So, in terms of debt, those farmers who collected money should be profiled. It will be our politicians. They collect it as part of their national cake.”
