NextBillion - An Initiative of the William Davidson Institute at the University of Michigan

Monday, September 17, 2012

A local microfinance institution, Duterimbere IMF Ltd, has launched new products that target the promotion of agricultural mechanisation among small scale farmers.

The new loan scheme aims at enabling farmers to purchase machines that will simplify, modernize their work and increase on their productivity.

“Our strategy is to financially build the capacity of farmers through enabling them to buy agricultural equipment like tractors as this will demonstrate our contribution to the mechanisation strategy in the agriculture sector,” Duterimbere’s Managing Director, Delphin Ngamije announced.

He highlighted that his institution is focused in identifying areas where other institutions were not active enough.

He disclosed that Duterimbere will this year provide credit worth Rwf4 billion from Rwf2.5 billion given out last year, with the agricultural sector getting the lion’s share of the funds.

He made the remarks on Saturday during an event organised to educate the institution’s employees across the country about the Agaciro Development Fund (AgDF). At the end of the session, each employee made a contribution worth a month’s salary.

Giving details about the new products, Ngamije said that although farming is perceived as a risky venture among financial institutions, building the capacity of farmers to carry out their activities on a large scale based on technological advancement can easily uplift the image of financial institutions.