Best Banks For Agribusiness Loans

1. BANK OF AFRICA

-BOA Agribusiness Loan: This is a short to Medium term credit facility to help farmers in purchase of farm inputs such as seeds, fertilizers and chemicals, pay for lease of additional agricultural land, buy livestock, meet their harvesting and marketing costs and also finance other social development needs.

Features	Requirements
Secured by a combination of any acceptable tangible securities such as title deeds, log books, listed shares, cash cover etc.	Detailed Analysis of the agricultural project including expected revenues and all the cost items e.g. seeds, animal purchases, herbicides, pesticides, harvesting and labour.
Interest rate as per CBK regulation	A comparative analysis of the neighborhood to establish the kind of farming carried out, expected harvest and suitability of the farming activity the customer is carrying out
Interest rate calculation payable in arrears on reducing balance or flat rate	12 months bank statement
Method of loan repayment either EMI, bullet payment or as per the customer cash flows.	Provide documentary evidence of ownership of farm to be used for the production or a valid lease agreement covering at least one future production cycles
Loan advanced both in Kenya shilling and foreign currency	Provide documentary evidence of at least three year experience in the line of business
Maximum 3 years for machinery, equipment and any farm asset financing	Good credit history
Maximum of 1 year or crop production period/cycle whichever is shorter for farm inputs financing	For limited companies Specific debenture over the asset being purchased

2. DUBAI ISLAMIC BANK

-Agribusiness Value Chain: Agribusiness Value Chain by offering Sharia Compliant financing for farmers, manufacturers, value chains/distributors in the following industries:

3. EQUITY BANK

–Farm Inputs: targets farmers operating monthly remittance accounts with Equity Bank, helping them meet their farming needs i.e. purchasing farm inputs.

Features	Requirements
Loan amounts range from Ksh.5,000 to Ksh.200,000	Be remittance account holders with Equity Bank for a minimum period of three (3) months.
Maximum repayment period of 12 months	The applicant must have received at least one month’s remittance through his account, must have a six months’ account statement from previous banks or provide a formal clearance from the previous banks to transfer remittances to Equity Bank.
At least two guarantors who are active account holders in the Bank	You must demonstrate ability to repay the loan.
The collateral or security acceptable for this loan include sales proceeds for already sold farm produce (signed commitment and irrevocable change of pay point particulars form to be obtained); chattels mortgage over livestock, farm and household assets.	You should provide at least the three (3) most recent payment slips.
	Provide documentary evidence of ownership of the farm used for production or a valid lease agreement covering at least two future seasons. The same must be signed and witnessed by a lawyer.

– Commercial Agriculture: This loan targets medium and large-scale farmers dealing in any aspect of farming, from large-scale agricultural based foundations to medium and large-scale agricultural traders and processors.

Features	Requirements
	Be an active account holder with Equity Bank.
	Demonstrate ability to repay the loan.
	You should already be in commercial farming with one year experience or one successful production cycle.
	You need to clearly demonstrate the existence of other sources of income that could be used in repayment of the loan in case of crop failure, loss of harvest and/or poor marketing due to adverse weather and/or any other factors.
	Provide documentary evidence of ownership of farm to be used for production or a valid lease agreement covering at least two future production cycles.
	The farming project to be financed must be within a radius of 50km from the Bank branch and easily accessible to the Bank officials.
	You should be able and willing to provide conventional security to cover the loan.

–Kilimo Maendeleo: This is a credit vehicle meant to facilitate farmers in undertaking farm developments such as construction of farm houses, zero grazing yards and biogas plants; purchasing of motor vehicles and land etc. and to meet social development needs.

Features	Requirements
It has a flexible repayment period of up to 24 months.	You should be remittance account holders with Equity Bank for a minimum period of three (3) months
Loan amounts granted are between KSh50,000 and KSh1,000,000.	You need to have received at least one-month remittance through your Equity Bank account and to provide a three (3) years account statement from your previous bankers.
The target beneficiaries of this product are farmers operating monthly remittance accounts with Equity Bank i.e. tea and dairy farmers.	In case of buy-offs, the borrower should provide formal clearance from the previous bankers to transfer remittances to Equity Bank and provide a three (3) year account statement from the said institution(s).
	You need to demonstrate your ability to repay the loan.
	You should provide 3 of the most recent payslips.
	Provide documentary evidence of ownership of the farm used for production or a valid lease agreement covering at least two future seasons. The same must be signed and witnessed by a lawyer.
	Present evidence of the subject to be financed such as pro forma invoices, bills of quantity etc.

–Kilimo Biashara ( Small-scale ): This loan aids the small-scale farmer by financing the purchase of farm inputs such as certified seeds fertilizers, chemicals and machinery, the hiring of labour and harvesting costs.

Features	Requirements
Loan amounts granted are between KSh5,000 and KSh100,000.	You need to be an active account holder with Equity Bank.
The repayment period is set at 1 year, or the crop production period/cycle; whichever is shorter.	Submit your loan application within a reasonable time (preferably one month before the setting in of planting season).
This product does not finance land leasing. The target beneficiaries of this product are small-scale commercial food crops farmers.	Demonstrate the ability to repay the loan.
Chattels mortgage over farm and household assets and livestock	Be ready to attend group meetings on weekly basis as stipulated in the agriculture group lending policy (for borrowers under this category).
Conventional securities in form of motor vehicle log books, land title deeds etc	You need to be in commercial farming with farming experience of at least one (1) successful season.
At least two guarantors who are active account holders of Equity Bank	Be able to clearly demonstrate existence of other sources of income that could be used for loan repayment in case of crop failure, loss of harvest and/or poor marketing due to adverse weather and/or any other factors.
Group guarantees may also be applied as per the agriculture group lending policy	Provide documentary evidence of ownership of the farm to be used for production or a valid lease agreement covering at least two future seasons; the same must be signed and witnessed by a lawyer.
	Identify inputs suppliers, negotiate the inputs prices and obtain quotations/pro-forma invoices for the inputs to be financed.
	Be able to demonstrate understanding of the market for the commodity being financed.

–Kilimo Biashara ( Agribusiness ): This is a loan designed to financially facilitate the value chain players in the business of manufacturing, stocking, importing, exporting and selling agricultural inputs and equipment.

Features	Requirements
The loan beneficiaries include but are not limited to agro-dealers, agro-processors, agro-inputs manufacturers and agro-importers and -exporters.	You could be an account holder with Equity Bank or a non-account holder.
The credit facility is to facilitate agribusiness enterprises by agro-dealers, importers, agro-processors and input manufacturers, etc. to finance business working capital and operational needs.	Submit your loan purpose for financing business working capital and operational needs.
Loan amounts depend on individual requirements and the ability to repay.	You need to demonstrate your ability to pay back the loan.
The maximum repayment period is three years	ou must have relevant business licenses, such as License by KEPHIS (Kenya Plant Health Inspectorate Service) and PCPB (Pest Control Products Board) for stockists already in Agri-business (business existence of 1 year).

-Food and Agriculture Youth Financing: This is a short and medium term credit facility designed to finance youth to establish Food and Agriculture related businesses.

This is a short and medium term credit facility designed to finance youth to establish Food and Agriculture related businesses. The target beneficiaries of this product are professional graduates in F & A related technical courses at TVET, Diploma, Bachelor’s and Master’s Degree level. The courses to be considered will include; • Food Science and Technology • Horticulture – hydroponic, irrigation systems • Animal health and production • Agricultural and Bio-systems engineering • Other course to be considered on case to case basis

Features	Requirements
Minimum loan amount of kes. 100,000/ and a Maximum: Kes.1,000,000/-	Be a graduate from a recognized F & A related training institution having attained; 2nd upper division for Degree (including Master’s Degree Holders) Distinction for Diploma OR Approved certification on any technical training in Agriculture from recognized institutions.
Repayment period period of upto 12 months for producton based financing and 24 months for capital Expenditure	Be interested in establishing a business entity in line of the training specialization and background.
	Be active account holders or be willing to open and operate an account with Equity Bank (K) Ltd.
	Demonstrate ability to run viable and bankable project preferably based on the academic projects presented to the relevant department at attaining the training certification of the borrower.
	Be trained or willing to be trained on Financial Literacy, Entrepreneurship and Digital Literacy by Equity Group Foundation.
	The Borrower’s project must be of commercial nature.
	Able to contribute at least 10% of the total project cost in cash as part of the capex.
	Provide documentary evidence of tenancy of the property/premises to be used for the business in way of a valid lease agreement and/or formal confirmation of the parent’s/guardian’s property allocation.
	Provide signed contracts to purchase the produce/products from proposed buyers.

-Micro-Agribusiness: Micro Agribusiness Loan is designed to finance small and medium agricultural producers and micro agriculture-based entrepreneurs/agro-traders.

This facility is aimed at but not limited to: • Farmers and farming entities both in livestock and crop production without regular monthly remittances. • Micro agricultural traders and agro-processors such as dairy processors, farm output buyers, etc. including licensed home based value addition businesses, on-farm processing and agro based micro enterprises etc. • Agricultural service providers such as equipment hiring services, soil testing, veterinary services, commercial technical training and support etc.

Features	Requirements
Minimum Loan amount is KShs.10,000 with a Maximum loan of Ksh.500,000	Be an active account holder with Equity Bank for at least 12 months
Maximum Repayment period of up to 12 months	Be in commercial farming with experience of at least two (2) successful seasons/cycles and good knowledge of the market.
Flexible Mode of Repayment based on agribusiness income cycle	Have the relevant licensing especially for agro-traders and processors.
	Demonstrate existence of other reliable sources of income that could be utilized in loan repayment in case of crop failure, poor harvest, poor markets etc.
	Provide documentary evidence of ownership of the farm used for production or a valid lease agreement covering at least two future seasons/cycles.
	Farming project to be financed must be within a radius of maximum of 30kms from the branch and easily accessible to the bank officials.

–Kilimo Biashara: This is a short term credit facility designed to finance small scale commercial staple food crop production

Features	Requirements
Minimum Loan amount 50,000 and a maximum of 500,000	Be active account holders with Equity Bank for at least 12 months
Loan repayment of up to 12 months based on crop cycle	Be in commercial farming, with proven two (2) successful production cycles and good knowledge of the market.;
The loan attracts an interest rate of CBR +2%	Be a holder of and/or have access to arable land of between 2 and 20 acres for production of commercial staple food crops.
	Borrower must have done at least two (2) successful years with farm proceeds banked in Equity Bank.
	Demonstrate ability to repay
	Able to clearly demonstrate existence of other sources of income that could be utilized in loan repayment in case of crop failure, loss of harvest and/or poor marketing due to adverse weather and/or any other factors.
	Provide documentary evidence of ownership of farm to be used for production or a valid lease agreement covering at least two future production cycles;
	Be willing to take insurance for the crop being financed through Equity Insurance Agency Ltd.
	Farming project to be financed must be within a radius of maximum of 30kms from the branch and easily accessible to the bank officials.

–Seed Production: This is a short term credit facility designed to finance production inputs and associated costs to medium and large scale Seed Grower Farmers.

Features	Requirements
Minimum amount of kes 50,000 with maximum being client’s ability to pay.	Be active account holders with Equity Bank or willing to open and operate an account with Equity Bank (K) Ltd.
Maximum repayment period of 12 months based on crop cycles.	Demonstrate ability to repay.
	Must be in commercial seed growing, with experience of at least one (1) year or one successful production cycle (this need to be evidenced by proof of the past sales records & receipts, previous banking history, or recommendation from Kenya Seeds Company, or any other seed multiplication contracting company.).
	The area of production must be of at least 2 acres.
	Able to contribute 30% of the total production cost either in cash or in kind.
	Provide documentary evidence of ownership of farm to be used for production or a valid lease agreement covering at least one future production cycle.
	Provide signed seed production with the contracting company.

4. FAMILY BANK

-Majani Plus: targeted at farmers involved in the production of tea leaves for supply to tea factories. Farmers who have an active account with Family Bank and are receiving regular income from their agricultural proceeds are eligible for tea sector loans.

This loan can be used to acquire farm inputs, equipment, livestock feeds, labor finances, school fees, among other purposes.

Features	Requirements
Flexible monthly loan repayment period of up to 36 months	The applicant must have delivered tea to either KTDA or other listed private tea factories
Flexible repayment mode	Proof of tea delivery by providing the 3 latest tea delivery receipts
Flexible security requirements	Bonus receipt of the previous year
Higher loan amount to cater for development purposes	Original and copy of national ID
	Signed irrevocable letter of undertaking/assignment form and guarantor form (where applicable)

-Dairy Financing: Targeted towards meeting personal needs or short term working capital of individual farmers, cooperatives, chilling plants and milk bulking agents.

–Kilimo Biashara: is an agribusiness loan ideal intended to finance working capital to purchase stock and/or farm inputs, such as certified seed, fertilizer and chemical applications.

Features	Requirements
Non-account holders can apply for facilities	Enterprises/dealers trained & certified through AAK, AGMARK or other Ministry of Agriculture approved program
Loan amounts are tailored for business operational requirements	Business should have been in operation for at least 12 months
Loan repayment period of up to 36 months
Interest Rate of 12% per Annum

–Wheat, Barley and Steers fattening: This is a medium term farming product designed to help farmers purchase and fatten steers for sale, prepare land for farming, purchase farm inputs like seeds, fertilizer, chemicals, lease payment, facilitate harvest and other agricultural activities

5. HOUSING FINANCE LTD

-HFC Kilimo: designed to cater specifically for the needs of agribusiness.

Features	Requirements
No minimum balance, operating balance or ledger fees	National ID
Processing fee Kes.50 per item	KRA PIN Certificate
Access to structured agricultural loans that cater for seasonal cash flows	Physical address confirmation
Access to mobile banking services
ATM card
Access to insurance solutions e.g. crop insurance

6. KENYA COMMERCIAL BANK

-Livestock Loan: If livestock farming and trading is your Biashara, then let’s engage about KCB’s livestock farming loan. Get up to 80% financing on your financing need and see your livestock farm flourish

Features	Requirements
Get financing up to Kes 250 Million	An active account with KCB with agricultural proceeds remittances for at least 6 months
Get up to 80% financing of funds required, with 20% contribution requirement	Must be in commercial farming for at least 1 year. Relevant supporting documents to be submitted.
Negotiation fee charge – 3%	Evidence of farm sale proceeds having been consistently channeled through the account in the last 12 months for multi-banked customers.
Interest rate charge – CBR + 4%	At least 3 similar payments of same magnitude as loan sought having been paid thru the account in last 12 months
Maximum of 3 months for traders involved in sale and transportation of Livestock	At least 75% business income to be channeled through KCB within the next 3 months
Maximum of 6 months for animal fattening, egg production and breeding.
Maximum of 12 months for Pasture production e.g. leasing of land, fencing, seeds, tilting and land preparation, infrastructure development eg holding pens, boreholes etc.

-Farm Asset financing: enables you to purchase commercial and farm machinery and equipment such as green houses, irrigation kits, oil processing equipment, chaff cutters, tractor implements, trucks for transport produce.

Features	Requirements
Get financing up to Kes 250 Million	Past crop production records
Repay your loan within your desired duration up to 60 months, and 36 months for tractors	Projected cash flow
Enjoy insurance on your acquired assets offered by KCB insurance	Suitable security requirements
Loan tenor pegged on crop cycle	Must have been in production for at least two crop cycles
Loan repayment by bullet
Interest charge – CBR+4%
Negotiation charge – 3%

-Bio-Digester loan: support your venture into environmentally friendly farming solutions with the Bio-digester loan

In addition, our partnership with Kentainers helps you acquire biogas systems and installation expertise.

Features	Requirements
Get financing up to Kes 250 Million	Account relation for at least 3 months or regular remittance by reputable processor for at least 1 year.
Loans of up to Kes. 3 Million require no security	Loan amounts of above Kes 3 Million should be secured.
Repay your loan within your desired duration up to 18 months	Undertaking by a reputable processor to channel payments through KCB.
Interest charged – CBR+4%
Negotiation fee charged – 3%

-Working Capital Loan: Agrovets, Agro-processors, commodity traders (cereals, legumes, vegetables) and traders in livestock; the KCB working capital loan is especially for you.

Features	Requirements
Access loans of up to Kes 250 Million matched to your business needs	Bank statements to establish cash flows (3 months for customers and 6 months for non-customers)
Repay your loan within your negotiated duration	Monthly contract savings for 20% of the value of improved breed cows and 100% of the value of 4 months’ dairy feed
Interest charged – CBR+4%	At least 1-year experience in dairy farming
Negotiation fee charged – 3%	Business plan including financial plan indicating 70% of the loan will go to buying herd while 30% of financing to infrastructure development and buying dairy feeds

-Structured Crop Loan: An Agribusiness loan designed for crop farmers who do not have contracts with reputable off takers.

Features	Requirements
Get financing for your farm between Kes. 5,000 and Kes. 2 Million	Past crop production records
Loan tenor pegged on crop cycle	Projected cash flow
Loan repayment by bullet	Suitable security requirements
Interest charge – CBR+4%	Must have been in production for at least two crop cycles
Negotiation charge – 3%

-Contracted Crop Loan: An Agribusiness loan designed for crop farmers who do not have contracts with reputable off takers.

Features	Requirements
Loan tenor pegged on crop cycle	Past crop production records
Loan repayment by bullet	Projected cash flow
Interest charge – CBR+4%	Suitable security requirements
Negotiation charge – 3%	Must have been in production for at least two crop cycles

-Horticulture Crop Loan: An Agribusiness loan designed for crop farmers who do not have contracts with reputable off takers.

Features	Requirements
Loan tenor pegged on crop cycle	Past crop production records
Loan repayment by bullet	Projected cash flow
Interest charge – CBR+4%	Suitable security requirements
Negotiation charge – 3%	Must have been in production for at least two crop cycles

-Farm Development Crop: An Agribusiness loan designed for crop farmers who do not have contracts with reputable off takers.

Features	Requirements
Loan tenor pegged on crop cycle	Past crop production records
Loan repayment by bullet	Projected cash flow
Interest charge – CBR+4%	Suitable security requirements
Negotiation charge – 3%	Must have been in production for at least two crop cycles

-Mavuno Tea Crop Loan: Specially designed for tea farmers, the Mavuno loan provides seasonal loans for farm inputs, working capital and farm development

Features	Requirements
Access up to 70% financing on your total tea delivery	Banking relationship with KCB for at least 3 months
Repay your loan within your desired duration up to 36 months	Tea factory membership registration details
Get credit life insurance on your Mavuno loan
Interest rate – 13% (CBR rate 9% plus Bank Variable margin of 4%)
Negotiation fees – 3%

-Dairy Loan: designed for dairy farmers, enhancing your revenue earning capacity.

Features	Requirements
Interest rate – 13% (CBR rate 9% plus Bank Variable margin of 4%)	Banking relationship with KCB for at least 3 months
Negotiation fees – 3%	Collateral to secure your loan
Access loans of amounts between Kes. 50,000 and Kes 20 Million
Repay your loan within your desired duration up to 60 months

7. NATIONAL BANK OF KENYA

-Jenga Kilimo: promises smallholder farmers growth, diversification and consolidation of their business by availing low cost funds for both working capital and asset financing.

Features	Requirements
Amount – Up to Ksh. 5 Million	Farmers with at least 2 years in the financed agricultural activity
Negotiation fee – 3%; Insurance Premium – 1%	For Tea and Dairy farmers; produce deliveries must be to marketers with MOU with the bank.
Interest Rate on reducing balance (Rate to be advised)	Evidenced repayment ability
Repayment – Up to 48 Months	Lien over tea/milk deliveries
	Legal charge
	Chattels – Business/farm & Household items and equipment.

8. NCBA BANK

-Agribusiness Scheme Loan: finance the purchase of farm inputs by farmers who are engaged to produce crops or seeds for scheme companies such as seeds, chemicals, fertilizers and related farm operation activities.

Features	Requirements
Loan amount of up to Kes 6,000,000.
Available to farmers contracted by a scheme to produce crops or seeds for seed companies, cooperative societies and institutions with a buy back guarantee.
Farmers must have at least 2 years of farming relationship with the scheme company.
Flexible security requirements

9. TRANSNATIONAL BANK

-Fertilizer Loan: For farmers in need of a loan for purchase of fertilizer

Features	Requirements
Unsecured – Limit Ksh 10,000 – 50,000
Easy collateral – Limit Ksh 50,000 – 300,000
Standard collateral – Above Ksh 300,000
Repayment period up 36 months

-Hazina Loan: for self-employed individuals, small scale farmers and small businesses. 

Features	Requirements
Unsecured – Limit Ksh 10,000 – 100,000	Account statements for at least 3 months
Easy collateral – Limit Ksh 100,000 – 300,000	Securing arrangements according to loan amount
Standard colateral – Above Ksh 300,000
Loan repayment period 12 months

-Crop Loan: is for farm inputs for farm crops. To be repaid using sale proceeds.

Features	Requirements
Unsecured : Limit Ksh 10,000 – 100,000
Easy collateral : Limit Ksh 100,000 – 1 million
Standard collateral : Above Ksh 1 million

-Tractor Loan: For purchase of tractors and implements.

Features	Requirements
Financing up to 70% the value of the tractor
Asset finance for 70% of asset value limit maximum Ksh 3 million
Repayment period 24months
Interest is 9.5% flat rate
Loan turnover ratio is 50%

-Agri-finance Loan: For purchase of Farm implements

Features	Requirements
Financing up to 70% the value of the tractor
Asset finance for 70% of asset value limit maximum Ksh 3 million
Repayment period 24months
Repayment period 12 months/cash flow based
Loan turnover ratio is 50%
Interest is 9.5% flat rate

– Other Farming Activities: For activities such as beekeeping, poultry farming, animal rearing etc

Features	Requirements
Unsecured Limit Ksh 10,000 – 50,000
Easy collateral Limit Ksh 50,000 – 300,000
Standard collateral Above Ksh 300,000
Repayment period is 12 months