by Harun Mugambi
President William Ruto and his Deputy Rigathi Gachagua have urged coffee farmers to take advantage of the government’s spearheaded agricultural initiatives such as low-interest government loans in order to relieve themselves from huge financial burdens.
Addressing thousands of farmers at the Gitoro ASK showground, President Ruto highlighted the benefits of government-supported loans aimed at empowering farmers and ensuring their financial sustainability.
“Going forward, those in the corporate sector and our coffee farmers should borrow from the government at an interest rate of 3%, instead of the 26% charged by other lenders,” Ruto said.
The President noted that measures are in place to expand coffee production from the current 40,000 metric tonnes to 200,000 metric tonnes annually to grow more revenue to Kenya.
“The government is allocating KSh6 million for modernization of the New KPCU, KSh6 million for coffee pulping, and another KSh6 million for coffee seedlings to support this expansion,” he said.
Lauding his sentiments, Deputy President Gachagua called on cooperative heads to exercise financial prudence by ensuring that any borrowing by cooperatives is authorized by farmers during annual general meetings (AGMs).
He further underscored the government’s commitment to providing affordable credit to farmers, noting, the governments’ dedication to supporting farmers through favorable policies and affordable financing options.
“We have taken a bold step to alleviate the financial burden on our coffee farmers by waiving their debts, it is crucial that farmers do not fall back into the cycle of debt by borrowing from lenders who charge exorbitant interest rates,” he said.
The leaders’ visit to Meru underscores their commitment to supporting the agricultural sector and ensuring that farmers have access to affordable financing and modernized infrastructure, which are crucial for achieving financial sustainability and increased productivity.
