Kajiado farmers get back title deeds after Uhuru waived loans owed to AFC
Mr Joseph Oloontasati (left) receives his title deed from AFC chairman Franklin Bett (left) and AFC MD Lucas Meso after a Presidential directive that all loans owed to the corporation by farmers be waived. PHOTO | JOSEPH NGUNJIRI | NATION MEDIA GROUP
What you need to know:
- Mr Franklin Bett who chairs the AFC board said they are implementing the President's directive.
- He gave credit to former Interior CS Joseph Nkaissery for having raised the matter of the loan waivers with him.
- Mr Bett dispelled fears that those whose debts had been waived would not be eligible for future loans from AFC.
Two weeks after President Uhuru Kenyatta announced that the government had waived loans owed to the Agricultural Finance Corporation (AFC) totalling to Sh1.5 billion, the lender has started giving back title deeds to farmers in Kajiado County.
The title deeds had been deposited with AFC as collateral for loans taken.
According to Mr Franklin Bett who chairs the AFC board, they are implementing the President's directive to the effect that the loans would be waived on small farmers who are in distress.
NKAISSERY
He gave credit to former Interior Cabinet Secretary Joseph Nkaissery for having raised the matter of the loan waivers with him.
"I then approached the President with the matter and he agreed to write off the debts," explained Mr Bett.
"I also [made sure] that the government paid us the money that was being waived, so that our books could balance.
"The agreement was that the government [pays back] every shilling owed, such that if a farmer owed Sh100, the government would pay Sh100," he added.
The event was held at the AFC offices in Kajiado Town.
The farmers who received their title deeds were drawn from all parts of Kajiado Town.
Milanoi Kapaito displays her title deed after she got it back from AFC. Her outstanding loan was waived after President Uhuru Kenyatta's directive. PHOTO | JOSEPH NGUNJIRI | NATION MEDIA GROUP
DROUGHT
Milanoi Kapaito, 42, from Namanga said she took a Sh600,000 loan in 2014 to buy 42 herd of cattle, for which she surrendered the title deed for her ten acres of land to AFC as collateral.
She had been repaying her loan and when the balance was at Sh180,000, the current draught that has ravaged Kajiado County struck, wiping out all her cattle.
"I now have only three cows remaining," says the mother of three.
"Before the president made his announcement, I was worried I would lose my land. I had almost bankrupted my beads business trying to clear the loan."
Another farmer, Joseph Oloontasati had taken a loan of Sh850,000 from AFC and had an unpaid balance of Sh300,000.
"I have been repaying my loan well until the draught struck and made my life a misery," said Mr Oloontasati.
"I am grateful to the President for lifting this burden off our backs."
Apart from Kajiado, the AFC waiver will take effect in five other counties, namely Narok, Kitui, Baringo, Tana River and Busia.
Farmers from Kajiado who had taken loans from AFC queue to receive back their title deeds. PHOTO | JOSEPH NGUNJIRI | NATION MEDIA GROUP
DISPELLED FEARS
Mr Bett dispelled fears expressed by the farmers that those whose debts had been waived would not be eligible for future loans from AFC.
"If you have not heard it from us, treat it as malicious propaganda," he said.
Lucas Meso, the AFC managing director, urged livestock farmers in Kajiado to embrace modern ways of farming, a thing he said will prevent unnecessary death of animals in times of draught.
"You could, for example dig wells and buy hay to avoid taking your cows for long distances in search of water and pasture," he said.
He also advised the farmers to take insurance for their loans.
"Insuring your loan is important as it comes in handy in case the farmer passes on [in which case] the insurance pays the rest of the loan," added Mr Meso.
