Governing board for agricultural bank inaugurated
A farmer in Morogoro Region inspects progress of his banana produce. Once the Tanzania Agricultural Development Bank opens business, it is farmers like this one who are expected to benefit the most. photo | simba deo
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She said the government is the only shareholder of the bank, and is responsible to offer the seed capital of Sh100 billion and keep on allocating Sh100 billion in its annually Budget to ensure the bank’s start-up capital reaches Sh800 billion ($500 million).
Dar es Salaam.The ministry of Finance yesterday launched the Tanzania Agricultural Development Bank (TADB) board of directors, setting grounds for the financial institution that seeks to empower farmers in the country.
Deputy Finance minister Saada Mkuya announced the nine-member board under chairmanship of Ms Rosebud Kurwijila, with diverse career background from bank, agriculture, law and policy, which will help it to deliver accordingly – ensure farmers get access to finance as stated in the Kilimo Kwanza programme.
Ms Mkuya said the government is full of expectations from the board that members will use their skills, expertise and experience in order to achieve the main objectives of opening the bank.
“Through the bank, the government expects to see more access to cheap capital of short and long term period for agriculture, address poverty and low income level of majority of Tanzanians,” said Ms Mkuya.
She also mentioned other results expected as, increased national income as the result of expected annual growth of agricultural sector by at least 10 per cent, increased employment, and increased agricultural commodities for trade, decrease in rural-urban migration and availability of more agricultural food in the country.
Ms Mkuya said the board will be responsible for making policies, regulations, prepare business plan and oversee the activities of the bank so that the government’s plan to increase agricultural production is achieved.
She said the government is the only shareholder of the bank, and is responsible to offer the seed capital of Sh100 billion and keep on allocating Sh100 billion in its annually Budget to ensure the bank’s start-up capital reaches Sh800 billion ($500 million).
According to Kilimo Kwanza programme, pillar number two, the TADB should have the starter-up capital of Sh800 billion.
In his welcoming remarks to the deputy Finance minister, the permanent secretary, Servacius Likwelile said the formation of the bank was the result of implementing the cabinet of minister’s meeting which was chaired by President Jakaya Kikwete in 2012. “The resolution was made that immediate action has to be taken to form the bank,” he said.
He said to effect the instructions, Finance ministry formed the Task Force to oversee the formation of TADB, appointed Steering Committee comprised of permanent secretaries from President Office-Planning Commission, Prime Minister’s office, Attorney General, Finance ministry, ministry of Livestock Development and Fisheries, ministry of Industry and Trade, Bank of Tanzania Governor and executive director from Tanzania investment Bank (TIB) and formation of Nomination Committee.
