Published: 16 September 2013

CBZ Bank Limited has floated Agricultural Marketing Authority Bills in a bid to raise about $35 million to finance soya bean production in the coming cropping season.

An official from the bank's Investment banking department confirmed the development and said: "The latest AMA Bills are wholly guaranteed by Government with features such as tap issue, 10,5 percent interest per annum, 272 day tenor and payment is on allotment and opens tomorrow September 17.”

Special features include prescribed asset status, liquid asset status and exemption from tax and applications must be for a minimum of $50 000 in multiples of $10 000.

CBZ has in the past been at the forefront of mobilising financial support for the sector, particularly towards smallholder farmers because of its philosophy that agriculture is the backbone of Zimbabwe's economy. The sentiments are also consistent with the position taken by the Reserve Bank of Zimbabwe last year to extend more resources to small farmers this year while big and established farmers would have to find their own means to secure funding for.

Apart from the AMA Bills, CBZ Bank last December was reported to have extended $35 million to agriculture, directly to farmers and to input suppliers.
- herald

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