AFC Holdings seeks to finance 18 000 hectares of winter crop

Sunday Mail Reporter

AFC HOLDINGS, through its Land and Development Bank, is expected to finance at least 18 000 hectares of a winter wheat crop this season.

This will be supported by agro-bills that will be backed by Government guarantees.

Speaking on the sidelines of a media event hosted by the group last week, AFC chief executive officer Mr Francis Macheka said: “We have applied for a Government guarantee to the tune of US$42 million, to enable raising of funds from the market.

“The guarantee will be split into two — US$31,55 million or its Zimbabwe dollar equivalent towards the open financial markets and US$10 million or Zimbabwe dollar equivalent guarantee will be towards the Reserve Bank of Zimbabwe to access the Productive Sector Medium Term Accommodation Facility.”

The media event — which was graced by the AFC Holdings board chairperson, board members from AFC’s strategic business units and managing directors of the group’s trading units — was attended by representatives of various media houses.

AFC Holdings is the parent company of AFC Land and Development Bank, AFC Commercial Bank, the AFC Insurance Company and the AFC Leasing Company.

Mr Macheka said winter tillage preparations are currently at an advanced stage, and the group’s equipment is clustered around 22 centres. “This makes it easy for farmers in winter farming hotspots to access this equipment for their winter tillage requirements,” he said.

AFC Leasing Company has already started deploying combine harvesters across the country to support the harvesting of the summer crop, in preparation for winter tillage.

The group CEO said over 56 combine harvesters had been strategically positioned to support harvesting of the summer crop.

Last year, the country posted a record winter wheat output of over 465 000 tonnes, which was above the initial and upgraded targets of 408 000 tonnes and 420 000 tonnes, respectively.