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Oliver Kazunga, Senior Business Reporter
THE Agricultural Bank of Zimbabwe (Agribank) has set up a $10 million facility to support horticulture farmers across the country.

Agribank said the facility attracts a 10 percent interest per annum with a tenor of up to 12 months for working capital and three years for capital expenditure.

The bank indicated in a notice that funding to prospective borrowers was available upon signing of the agreement between the lender and the financier.

“Agribank is actively promoting horticulture production by availing appropriately priced financing for horticulture producers,” it said.

The bank targets beneficiaries in sectors such as vegetable, fruit production and nuts growing. Produce such as peas, sugar snaps, beans, onions, potatoes, carrots, cherry tomatoes, mushroom, citrus, banana, avocado, berries, passion fruit, nectarines, peaches, apples, macadamia, cashew, pecan, and hazel nuts.

In his 2017 monetary policy statement in February, Reserve Bank of Zimbabwe Governor Dr John Mangudya stressed the need to promote growth of the horticultural sector and pledged the monetary authority and the Agricultural Marketing Authority would come up with revamped modalities to finance the sector.

This was aimed at promoting the growth and development of the local horticulture market to produce for the domestic and export markets.

At its peak between 1999 and 2000, Zimbabwe generated about $143 million in exports to different countries across the world.

The sector was also the second largest foreign currency earner after tobacco with an average contribution of about four percent to the Gross Domestic Product.

Zimbabwe used to export about 85 percent of its flowers to the Netherlands while about 90 percent of the total fresh vegetables found way to Britain, South Africa, Namibia, and Zambia.

Over the years, the sector’s productivity has largely been hamstrung by challenges such as labour shortages, funding constraints, and power cuts.

@okazunga