Nigerian Banks Suspend New Applications for CBN Anchor Borrowers and Other Funds

Nigerian deposit money banks have temporarily halted the acceptance of new loan applications for the Central Bank of Nigeria’s (CBN) development finance intervention funds. Access Bank conveyed this information to customers through a notification on Monday.

This decision follows the CBN's official announcement in December 2023 to discontinue the processing of new loan applications under its existing development finance intervention funds.

These programs, which include the Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL), Accelerated Agricultural Development Scheme (AADS), Anchor Borrowers Program (ABP), Agri-Business/Small and Medium Enterprises Investment Scheme (AGSMEIS), and the Real Sector Support Fund (RSSF), are affected by this suspension.

Access Bank's communication stressed that existing CBN development finance intervention funds with approved interest rates will remain unchanged. Customers are expected to fully repay these existing loans following the agreed terms and conditions.

The unexpected suspension of new applications for CBN funds raises concerns about the potential impact on businesses and individuals seeking financial support amid economic challenges. Stakeholders are closely monitoring the situation for further developments.