The Union National Bank of Egypt (UNB) signed four agreements with the Agriculture Sector Development Program (ASDP) of the Commercial International Bank (CIB), after approval by the board of trustees of the Ministry of Agriculture with the aim of development of the agricultural sector, enhancing the marketing capacities of small farmers and increasing food security.
Under these agreements, UNB-Egypt will finance investment and operations at all stages of production, manufacturing, warehousing, transportation, distribution and marketing of new projects, and financing expansions of existing projects.
The most important sectors funded by the programme are agricultural crops, livestock production, poultry, fish farms, medicinal plants, and aromatic plants.
The programme is characterised by the introduction of a competitive yield and the granting of borrowers a grace period of up to two years, a duration of financing of up to five years, as well as flexibility in the procedures for financing.
According to the banks in these agreements as well, any applications for financing within this programme will be signed between the bank UNB-Egypt and the client together, and are accredited by the CIB, reflecting the transparency and seriousness of the procedures.
In order to obtain this financing, the client must apply for funding at one of the 43 branches of the UNB which will then examine the application in terms of credit and send it to the CIB, after which it is examined by a committee of experts, then presented to the board of trustees of the agricultural development programme designated by the Ministry of Agriculture to make a final decision and notify the bank.
All projects funded by the programme, companies or individuals, serve all areas of agricultural activities, with the aim of increasing national agricultural output, increasing investment in this area, creating jobs, encouraging the private sector to contribute to it, and reaching the beneficiaries.
According to a statement by the bank, the signing of these agreements comes within the framework of its desire to push the production wheel forward and achieve sustainable development by focusing on vital sectors such as industry, agriculture, and renewable energy fields, which give a strong impetus to the Egyptian economy.