Citizens Bank invested $629M in local agriculture

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Chairman of Citizens Bank Limited, Clifford Reis, on Tuesday said that the commercial institution has invested over $600 million into the local agriculture sector and will continue to support small farmers.

His comment was made after a shareholder enquired at the Bank’s Annual General Meeting (AGM) on Tuesday whether provisions are made to finance innovators in the agro-process sector.

In response, Reis disclosed that Citizens Bank has invested some $629 million into the agriculture sector to benefit mostly small farmers.

“The [banking] agro sector, I think is more involved with small people who need work to be done,” he noted.

According to the Chairman, the parent company – Banks DIH Limited – is one of the largest consumers of agro-products within its subsidiaries.

“We’re one of the biggest users of agri-products in Guyana. In the parent company, we’re one of the biggest users of rice. All the wines we make in this company are made from rice,” he noted.

Reis added that the company’s restaurants subsidiaries also use thousands of pounds of chicken from poultry farmers.

However, the Chairman posited that there needs to be more innovation by farmers.

“So we do support the farmers… [But] I think they have to go to the next step now. They just can’t plant something and hope nature gonna make it grow. Otherwise, the yields will be too low and then per acre, they would not get the quantity so required to supply a chain,” he stressed.

According to Regis, “…all of this matter requires putting ourselves together and talking about it. I think there is a possibility to go this route in the future.”

In fact, the Chairman revealed that the Bank and its parent company had a meeting with stakeholders to set up a platform to assist small farmers to find out what is in demand and then produce for those target markets.

“So they don’t go and plant products which the buyers don’t want. I think they finish phase one of this system… And that will become a competitive pricing business. So we have a supply chain rather than having ‘x’ some months and some others you don’t have it,” he posited.

Nevertheless, the Citizens Bank Chairman committed to continue supporting the local agriculture sector, noting that this critical industry should never be abandoned as was done in Guyana’s Caribbean neighbour, Trinidad when it started producing oil.

“I lived through the 70s and the 80s where there were no foreign exchanges, and what saved us was the agriculture. At least we had food to eat, compared to some countries in Africa and what happened to Trinidad. So the agriculture base is a plus for this country, we should never abandon this land. It is the strength of any country. That oil will finish one day,” Reis contended.

Tuesday’s AGM coincides with the Bank’s 25th anniversary and was held at the Citizens Bank Head office on Camp Street and South Road, Georgetown, where the Chairman informed shareholders that the institution had a successful financial year in 2019 (which ended September 30), recording a profit after taxation of $955.2 million. This represents an increase of $352.9 million or 58.6 per cent over the previous year.