Pulse.com.gh logo
Go


ADB support farmers through GCX Warehouse Receipts System

Chief Executive Officer of the GCX, Dr Kadri Alfah expressed optimism that the partnership between the GCX and ADB will go a long way to help smallholder farmers as well as help to promote the GCX model.

  • Published:
Dr. John Kofi Mensah (MD ADB), Mrs. Tucci Goka Ivowi (DCEO GCX), Dr. Kadri Alfah (CEO GCX) and Alhassan Yakubu-Tali (DMD ADB) play

Dr. John Kofi Mensah (MD ADB), Mrs. Tucci Goka Ivowi (DCEO GCX), Dr. Kadri Alfah (CEO GCX) and Alhassan Yakubu-Tali (DMD ADB)

Agricultural Development Bank (ADB) and Ghana Commodity Exchange (GCX) have signed a Memorandum of Understanding (MOU). Under the terms of the MoU, ADB would provide a range of financial services including warehouse receipts financing, aggregation financing and settlement of trades.

The Bank will lend to Ghanaian smallholder farmers who only have their commodity as the sole collateral to present to the bank as the security for a loan. The GCX on its part, as part of its operations would provide a first-class warehouse collateral management service, warehouse Insurance and Indemnities, as well as stock information and market prices to reduce the bank’s lending risks.

This is in line with Government’s resolve to ensure financial inclusion amongst rural communities largely dominated by smallholder farmers. At the recent inauguration of the GCX, the Honourable Minister of Finance, Ken Ofori-Atta hinted that ADB will be restructured to support Ghanaian farmers through the warehouse receipt system.

Speaking at the signing of the MoU, the Managing Director of ADB, Dr. John Kofi Mensah, stated that Agricultural Development Bank is fully committed to supporting farmers to improve their access to financing. The Bank is a major player in the implementation of the planting for food and jobs and one district, one factory agricultural related projects and stressed the need for fair pricing modules to assist the entire agric value chain.

READ ALSO: There's no money for Farmers Day celebration - Agric Minister

On his part, the Chief Executive Officer of the GCX, Dr Kadri Alfah expressed optimism that the partnership between the GCX and ADB will go a long way to help smallholder farmers as well as help to promote the GCX model.

He stated ‘’Agricultural Development Bank has an extensive network of branches with proximity to commodity production areas which suits our business model, and perfectly supports our warehouse receipts financing programme. ADB’s readiness to support GCX electronic warehouse receipt program is good for the country and the financial market’s environment as we can see a collaborative effort among institutions with a national focus, work to meet a collective need."

"It is important that we encourage more commercial banks with enormous private capital to take interest in smallholder farmers who contribute about 20% of our GDP, and responsible for almost 50% of our employment. But off course we need to help the banks to manage their default and credit risks’’.

Do you ever witness news or have a story that should be featured on Pulse Ghana?
Submit your stories, pictures and videos to us now via WhatsApp: +233507713497, Social Media @pulseghana: #PulseEyewitness & DM or Email: eyewitness@pulse.com.gh.

Recommended Articles

Recommended Videos




Top Articles

1 7 Ghanaian statesmen who passed away in 2018bullet
2 20-year-old drowns in Weija river during baptism [Video]bullet
3 Drones not a priority if leaders still travel abroad for treatment...bullet
4 Madina drivers protest against mounting of toll boothsbullet
5 Another oil tanker vessel splits into two at Tema Portbullet
6 NACOB arrests Zimbabwean drug traffickerbullet
7 First batch of police recruits begin trainingbullet
8 Volta Region: Police intercepts GH¢300K worth of ‘wee’bullet
9 Tremor in Accra: Prepare for earthquakes – Geological...bullet
10 Vodafone Ghana congratulates best female farmerbullet

Top Videos

1 20-year-old drowns in Weija river during baptismbullet
2 Chained By Begging Anas’ latest expose has one message, don’t give to...bullet
3 Funeral dancers in Ghana The best funeral dancers in Ghanabullet
4 Kweku Adoboli narrates what led to his conviction and deportationbullet
5 Rawlings and Rebecca Akufo-Addo show off dancing skills at dinnerbullet
6 "God is good"- Pastor Otabil explains Capital Bank collapsebullet
7 Adenta Highway Protests: Police brutality, burnt tyres & morebullet
8 Infrastructure Alert Mass grave on Accra-Tema motorwaybullet
9 Video Obinim church members confess sexual sinsbullet
10 Death traps on Tema Motorwaybullet

Local

X
Advertisement