The majority of applications received for the "Dhanduveri Nafaa Loan" Programme have been for modern farming ventures, the SME Finance Development Corporation (SDFC) has revealed.
SDFC PPR Unit Deputy Manager Aminath Muha said a total of 18 farmers have taken loans up to USD 6,485, out of which USD 90,791 has been disbursed. She said 23 local farmers had applied for the USD 129,701 loan with USD 940,337 already disbursed.
The Ministry of Agriculture and Animal Welfare said most applications have been for modern farming ventures including vertical and greenhouse farming.
The "Dhanduveri Nafaa Loan" Programme is divided into two categories of agricultural loans which include loans up to USD 6,485 and the other between USD 6,485 and USD 129,701. Each of these loans will carry interest at six percent per annum. However, the maximum repayment period for loans up to USD 6,485 is three years. Loans up to USD 129,701 are repaid over a maximum of seven years.