In a move to promote environmentally friendly agriculture businesses, Sterling Bank, Nigeria’s leading financial institution, has partnered with the Africa Agriculture and Trade Investment Fund (AATIF) to provide a $15 million loan to sustainable and renewable energy-powered agricultural enterprises.
This medium-term facility from the Africa Agriculture and Trade Investment Fund strengthens the existing partnership between Sterling Bank and AATIF, which began in 2019 with the aim of supporting the bank’s agricultural activities.
Over the years, Sterling Bank and AATIF have collaborated on several projects, making commendable contributions to the Nigerian agricultural sector.
This extension of their partnership signifies a new chapter in their fruitful relationship.
Dr. Olushola Obikanye, Group Head for Agriculture and Solid Minerals Finance at Sterling Bank, emphasized that this funding would deepen Sterling Bank’s agricultural investments in the agribusiness industry, promote sustainable practices, and encourage farmers to explore environment-friendly systems.
He stated, “The funding will play a crucial role in driving the growth of the agricultural sector by supporting sustainable and renewable energy-powered enterprises.”
Highlighting the significance of the funding, Dele Faseemo, Group Head for Energy at Sterling Bank, expressed his optimism about the positive impact it would have on the agricultural sector and the Nigerian economy as a whole.
Faseemo said, “This funding will enable us to increase our support for renewable energy installations in the agricultural sector, fostering a greener and more sustainable future.”
Chair of the AATIF Board of Directors, Ms. Doris Koehn, commended Sterling Bank’s ambitions in growing its agricultural portfolio in Nigeria.
She expressed her satisfaction in renewing the partnership, stating, “We are proud to renew our partnership with the bank and are focused on further enabling its efforts to serve local smallholder farmers.”
Sterling Bank has earned a reputation as one of the key partners and lenders to the agricultural sector, with over N100 billion, equivalent to approximately 13 percent of its lending portfolio, currently financing agricultural businesses across Nigeria.
The bank’s commitment to the sector extends beyond financial support. Initiatives such as the Agriculture Summit Africa, the continent’s largest private sector-driven conference on the industry, and the Nigerian Farmers’ Radio, an educative radio program promoting good agricultural practices, have endeared the bank to primary producers, aggregators, commodity processors, and exporters.
Recognizing these efforts, Sterling Bank was recently awarded the Best Participating Bank by the Agric Credit Guarantee Scheme Fund.
Furthermore, Sterling Bank has demonstrated its commitment to renewable energy by launching Imperium, a solution designed to power homes and businesses.
The bank is also in the final stages of deploying Nigeria’s largest solar-powered solution for commercial property, transforming its Lagos Marina headquarters.
With over 3,000 photovoltaic panels installed, the 18-storey building will generate power from renewable sources.
Agriculture and Renewable Energy are two of the five core pillars of Sterling Bank’s renowned HEART strategy, with the remaining sectors being Health, Education, and Transportation.
