GUY’S HILL, St Mary – THE agriculture sector has received a major financial boost of US$7.8 million ($700 million) from the Caribbean Development Bank (CDB) to provide funding to farmers.

Permanent secretary in the Ministry of Agriculture and Fisheries Donovan Stanbury said the money will be made available to farmers through the Caribbean Development Bank’s Line of Credit programme that the ministry has embarked on.

The programme was officially launched Thursday, at the Apostolic Church in Guy’s Hill, in association with the Development Bank of Jamaica and the National People’s Co-op Bank.

Players in the sector, especially small farmers are anticipating a major spin off and improvement in their businesses from the new initiative.

After recording declines in production for some time, Stanbury said the last six quarters have shown signs of improvement.

He said there has been consecutive growth over the period particularly in the domestic food sector.

Stanbury anticipates the loan from the CDB will help to create new opportunities and drive the sector to more success.

“The small farmers of this country are always able to respond to the proper stimulus in terms of production,” Stanbury said while acknowledging challenges facing especially small farmers.

Stanbury said farmers will be able to access funding from various lending agencies including the National People’s Co-op Bank, Commercial Banks, Credit Unions, Mico Finance Institutions and Merchant Banks.

The permanent secretary said already more than 260 farmers have benefited from approximately $100 million which has been disbursed through the Financial Access for Responsible Farming (FARM) programme.

The FARM programme was launched last November and farmers can access loans of up to $2 milloin through that scheme.

For his part, Portfolio manager, social sector division at the CDB, Clairvair Squires encouraged the farmers to work towards repaying their loan. He said the CDB is committed to rural development and that the loan is to address some of the problems in the sector.

He said the agriculture sector has a major role to play in helping to stabilise the country’s economy and express hope that the money provided by his institution will help to create new opportunities for farmers.

“The funds are your funds and your funds have to be used by you in the best way and be repaid by you,” Squire told farmers.

“Our goal is to reduce poverty in the Caribbean … we are committed to the creation of rural prosperity.”

Under the CDB’s credit line programme, farmers who meet the criteria set out by the different lending agencies will be able to access loans for among other things crop and livestock production, agro processing, infrastructural development as well as apiculture and aquaculture.