Outgrower’s loans are designed to facilitate farmers dealing with production of crops under contract farming arrangement to get working capital to meet costs of farming, inputs purchase, crop maintenance, harvesting and other related crop development costs. The scheme involves a tri-partite relationship i.e. the bank as financier, the buyer/processor and the farmer/producer. The bank finances crop inputs which are either delivered by the off-taker or agri-input dealers. The harvest is contracted to the off-taker who pays the crop proceeds through the bank whereby the loan is repaid and the remainder is available for the farmer/producer group.


  • The loan scheme is tailor-made to suit specific crop and farmer needs
  • It enables farmers to borrow money to meet costs of production such as purchase of inputs, cultivation and harrowing, sowing and labor charges throughout the farming season
  • The facility is structured to take crop seasonality into consideration in order to facilitate easy and smooth loan repayment
  • It enables farmers to increase their crop acreage leading to increased production and more income


Agreement signed between the buyer of the crops, the outgrower (borrower) and the bank to provide the following assurance:

  • That all crops to be harvested will be purchased by the buyer
  • Actual crop harvested in the past seasons
  • Actual sales proceeds realized in the past seasons
  • Past experience in growing the crop
  • Collateral to secure the loan
  • Farming contract between buyer and farmers

For further assistance, please locate your nearest NMB branch, email This email address is being protected from spambots. You need JavaScript enabled to view it. or call 0800 002 002