DAR ES SALAAM: Tanzania Agricultural Development Bank (TADB) has assured farmers of its commitment to facilitate them in efforts to transform and commercialise their agricultural activities.
The Head of the Legal Department at the TADB, Mr Edson Rwechungura made the remarks in Dar es Salaam on Monday during the visit of a group of farmers from Tabora Region.
“Our goal, apart from providing funds, is to offer training, advice, and research to enhance our capacity to advise our farmers for more productive farming,” said Rwechungura.
The Director of Research and Planning at TADB, Mr David Waziri explained that the bank provides more than just loans with minimal monthly interest.
“If we were solely focused on loans, we would provide them and leave you to manage as best as you can. However, we aim to distinguish ourselves as a development bank from commercial financial institutions,” he said
He clarified that commercial banks offer loans with the expectation of repayment to generate profits. In contrast, a development bank, such as TADB, focuses on granting loans to assess and support the progress of projects.
“When a commercial bank gives a loan, they want it repaid to make a profit. As a development bank, we want to offer loans and monitor how they are being used to assess progress. This is the difference that sets us apart,” Waziri stated.
Mr Waziri argued that “The establishment of TADB had a primary objective of ensuring food self-sufficiency and security in the country.”
“Food self-sufficiency is critical people need to farm efficiently, which is why we provide loans to help farmers access quality inputs to boost productivity, ensuring adequate food supply for our nation,” he added.
Ramadhani Muna, a beneficiary of the loan from TADB, stated that it helps farmers cultivate their land in a shorter time, thereby increasing productivity. The bank plays a crucial role as a primary solution provider for farmers.
“We are deeply appreciative because TADB’s proactive initiative to promote commercial agriculture and enhance productivity harmonises seamlessly with Tanzania’s comprehensive strategy for ensuring food security and fostering economic growth,” he said.