RUNDU – Agribank CEO Raphael Karuaihe is upbeat about his institution’s operations in the two Kavango regions.
The Agribank Rundu office, which serves both Kavango regions, currently has about 316 active clients with 494 loan facilities worth over N$154.7 million, a figure he wished to see grow as the two regions have great potential.
“The two Kavango regions are strategic growth centres for Agribank and we are confident that the visibly elevated office here will improve our service delivery in the regions whilst creating opportunities for growth,’’ he said during the inauguration of the bank’s revamped office in Rundu on Wednesday. The revamp cost about N$9 million. The complex also has rental facilities that are leased out.
“The Kavango East region has the biggest number of clients standing at 305, worth over N$151 million, while Kavango West, with 11 clients, has a loan book value of N$2.9 million,’’ he noted.
Karuaihe stated that loans worth over N$3.1 million were recently also advanced to 37 youth members in the two regions, while 67 women benefitted from Agribank loans in the same regions worth over N$9.2 million.
“The number of women and youth could be higher, if one considers that the bank has also advanced loans to groups, companies and projects involving women and youth valued at over N$85.7 million in these two regions alone,’’ he said.
There is an opportunity for young people of these two regions to be excited as access to financing viable agricultural projects through Agribank is possible, he said.
“More importantly, it tells me that my team from Rundu needs to get of out of their comfort zones and intensify business leads, more particularly in the Kavango West region so that the next time we have an engagement opportunity of this nature, the numbers tell a different narrative,’’ the bank CEO noted.
Karuaihe said there is a need to devise deliberate initiatives to ensure the participation of residents from Kavango West in Agribank’s loan product portfolio.
Kavango East governor Bonifatius Wakudumo said it was pleasing to note that the bank is now stepping up its game to finance the secondary production in the agricultural sector – namely value addition.
“It is also common knowledge that a number of green scheme projects are found in this part of the country. I, therefore, want to challenge our small scale, as well as commercial producers to also step up their game. Let us set up factories to manufacture our own tomato sauce – let us set up factories to tin our fruits and vegetables,” he said.
Wakudumo said Namibia cannot continue to import basic products and that it is high time Namibians in the farming sector step up and enter the food processing sector.
“If we organise ourselves and take advantage of this facility by Agribank, we should be able to penetrate this lucrative market and make a mark in our quest for food security and value addition.’’
“You can only imagine the economic spin-offs from such arrangements as more jobs will be created, people will be up-skilled, demand for more services will be created and we would have contributed tangibly towards the national development goals,” he noted.
The governor urged agripreneurs in both regions to go back to the drawing board and develop bankable business plans in order to add value to their local produce. The governor pledged his support towards Agribank in assisting local farmers to come to party and assist the bank to also deliver on its mandate to ensure a bigger developmental impact in the country.