Posted on November, 16, 2018 at 10:14 am
The Development Bank of Ethiopia lifted the ban on the rental of leased farm machinery to third parties for agricultural mechanisation.
The system enables borrowers to own the machines when they complete paying the loan. But borrowers have not been allowed to rent the machines to a third party before.
"This procedure is now changed," said Teshome Alemayehu, vice president of the Small & Medium Enterprises Financing at DBE. "In order to boost the agriculture mechanization, the Bank lifted the ban."
Currently, the borrowers are mainly farmers unions.
"The bank facilitates lease financing for individuals who want to rent or buy the machines," said Teshome. "We have full capacity to deliver service to those who want the lease finances."
Source: Addis Fortune