Members of parliament have asked Rwanda Development Bank (BRD) and the Ministry of agriculture (MINAGRI) to help cassava farmers on their loan payments due to encountered numerous losses after the outbreak of Kabore disease.
Members of parliamentary Standing Committee on Economy and Trade were extremely shocked with cassava farmers from districts of Ruhango, Muhanga, Gisagara and Nyanza.
Farmers have been asking support as many of them have failed to repay bank loans following the devastation of the crop by the Kabore disease in 2013 to 2015. However, their banks remain adamant to remove the interest’s rates saying that their losses will not prevent them from servicing the loans and the interest rates.
While sharing ideas on the loan payment issue, some of Lawmakers have suggested to BRD to remove the rates since losses were caused by disasters.
Deputy Henriette Sebera Mukamurangwa, asked BRD if it can acquit farmers from paying the rates so that they understand that at least government has done some intervention as far as the calamity is concerned.
However, BRD immediately announced that they will not remove interests’ rate saying the loan was also a loan that had been provided to government by World Bank worth$10m under ‘Rural Investment Facility’ (RIF); as Rwanda focus reports.
Farmers who had been given cassava varieties being told they will not be affected by such disease; have now expressed concerns over being asked to pay interests rates while they have counted only losses.
The Bank said what is possible is to see how the loan and rates can be paid through individual dialogues by assessing how every farmer counted losses.