Wholesale Fund to Lenders
aBi Finance (Agribusiness Guarantee and Lines of Credit)
Description
A de-risking / credit enhancement mechanism channeled through financial institutions, intended to promote agribusiness and green financing to the agribusiness SMEs exhibiting additionality. The guarantee covers credit risk and is applicable to any activity along the agricultural value chain.
Investment Details
Guarantees and lines of credit to FIS so that they can offer affordable finance to the small holder farmers.
Target facilitators: Financial Institutions that lend to the agricultural sector especially small holder farmers.
Fund Structure
500M UGX (Guarantee Cover)
Target Impact
Enhance access to agribusiness and green finance by agribusinesses through the stimulation of financial institutions’ risk appetites to lend to agribusiness sector and demographics which are credit constrained by reason of,
-Insufficient collateral by value and or documentation (chattels, “kibanja”).
-Depth of agricultural financing ordinarily offered by financial institutions such as, medium / longer term financing instead of short term, financing of agribusiness sectors, markets, demographics such as refugees, youths and women and locations excluded by the financial services sector, and increasing the percentage exposure of FI credit portfolio to agribusiness lending.
Contacts
Tel: +256 (0) 312 351600
Email: info@abi.co.ug
Website: www.abi.co.ug
ADDITIONAL FMC INFO
Eligibility:
Must be an agribusiness
Must have additionality as defined above
Maximum loan amount – USh 4B
Any two of the parameters below:
Permanent staff - Up to 100
Annual sales – Up to USh 8B
Total Assets – Up to USh 5B