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Union second vice president Mr Berean Mukwende said the decision was nothing short of privatisation of the bank.
“Government’s decision will have a very negative effect on farmers and the industry in general. In fact, Government needed, at this point, to inject more money into the bank and not disposing shares.
“Can you imagine what will happen if the shares end up in the hands of someone or some banks that do not have policies that are favourable to agriculture? Look at the recent scenario in which some banks have effected a 45 percent interest rate penalty on defaulting farmers,” he said.
Mr Mukwende said the Government should have made a direct capital injection into the bank from Treasury to capacitate it to help farmers.
Zimbabwe National Farmers Union vice president Mr Stansalays Goredema said it would have been better if farmers had resources to take up the shares so that they can still assist their fellows.
ZFU executive director Mr Paul Zakariya, however, thinks differently.
He believes Agribank really needed fresh capital injection to fully retain its business scope of financing agriculture.
Online Reporter