• He said that his ministry has also moved to limit the loans to agricultural activities.
• Linturi said there have been borrowings that have gone beyond what they can disburse.
Image: EZEKIEL AMINGÁ
Agriculture CS Mithika Linturi has threatened to make public a list of politicians and senior government officials who owe the Agricultural Finance Corporation billions of shillings.
The CS disclosed that some officers in the current and former regimes, as well as current and former members of Parliament and governors, have failed to refund the agency.
The move has prevented other farmers from taking loans.
“I will release the list of shame of parliamentarians and those in Executive who have taken money and are not paying,” Linturi said.
Appearing before the Whole House of the Senate on Wednesday, he said that his ministry has also moved to limit the loans to agricultural activities.
“If you take money from AFC, please pay. The money is to finance agricultural productivity and not to go and build flats. We want to finance farmers,” Linturi said.
“Those sanctioning fraudulent loans your days are also numbered. Several loans have been given without proper security.”
Linturi said AFC is an agricultural bank that is faced with financial challenges and there have been borrowings that have gone beyond what they can disburse.
“We are seeking financing through the Supplementary Budget. Farmers to get loans below 10 per cent. Access to cheap loans will not be a problem.”
In February, the government announced it would allocate Sh10 million to AFC to finance priority value chains identified in the Bottom-up Economic Transformation Agenda on revamping agriculture.
Government Spokesperson Isaac Mwaura said AFC has an annual loan demand of Sh15 billion against its revolving fund of Sh4 billion per year resulting in a shortfall of Sh10 billion of unfinanced applications.
The cash crisis has been worsened by the non-payment of loans by the beneficiaries.
Linturi told the senators farmers have had a challenge with top-dressing fertiliser, explaining that the top-dressing fertiliser has been delayed because of non-payment.
The development comes after Nandi Senator Samson Cherargei asked the Cabinet Secretary to tell the country if the government was going to provide farmers with top-dressing fertilisers.
“Can the CS assure the country that there are top-dressing fertilisers and how many farmers have been compensated for fake fertilisers,” the senator said.
In response, Linturi said he was aware of the challenges facing farmers in regard to top-dressing fertilisers and they will get the commodity in due course.
“We are aware of the challenges facing the farmers. We are trying to solve the issue but it is not easy."
The National Treasury has released Sh3 billion to pay our suppliers. We have talked to them and they will now supply top-dressing fertilisers,” Linturi said.
The CS promised farmers that top-dressing fertilisers will soon hit the National Cereals and Produce Board (NCPB) silos.
The development comes after the National Treasury released Sh3 billion to pay the suppliers of the initial planting fertiliser.
Farmers in the North Rift have been protesting for lack of fertiliser.
In addition, Linturi promised that the government would set aside Sh500 million for livestock farmers to replace animals lost during the drought that hit the country in recent years.
The amount will also be used to settle farmers who lost their animals to floods.
“We have put a case before the Cabinet which has been approved. We have set aside some Sh500 million to support farmers who lost their livestock during drought,” he said.
Linturi said the government has taken Isiolo county as the hub of the six counties that form the Northern Frontier to establish Isiolo Abattoirs.
He said they have found meat markets in Jordan, the United Arab Emirates (UAE) and Saudi Arabia.
Linturi said there is an Airport already in place to help in the transportation of the commodity in time.