German-funded Combine Harvesters Handed Over to Lease Finance Customers - ENA English
German-funded Combine Harvesters Handed Over to Lease Finance Customers
Addis Ababa (ENA) November 26/2022 Germany's KfW Development Bank-funded 5 high-quality combine harvesters were handed over to lease finance customers today as part of the Agricultural Mechanization Leasing Project in Ethiopia.
The fourth round KFW-funded Agricultural Mechanization Leasing Project in the country has so far handed over 50 agricultural mechanization machines worth 13 million Euros to lease finance customers, it was learned.
The machineries funded by KfW Development Bank-fund have been purchased by the Development Bank of Ethiopia (DBE).
KfW Ethiopia Director, Diana Hedrich said on the occasion that KFW Development Bank has been financing investments, equipment (agricultural mechanization machines) and infrastructure.
The 5 high-quality combine harvesters seen here right now are financed by the development bank, she added.
According to her, KFW and Development Bank of Ethiopia started cooperation in 2018 when the German Ministry provided 13 million Euros for the project.
The project is strengthening Ethiopia’s agricultural mechanization and the strategy of Ministry of Agriculture, including the wheat production to be wheat import independent, the director stated.
Development Bank of Ethiopia (DBE) Vice President, Asfaw Abera on his part stressed the need to increase partnerships like this to enhance agricultural mechanization in Ethiopia.
“Our country, with a key partners like KFW, needs to strengthen the efforts for the expedition of the import of agricultural machineries. In this regard, the German Ministry for Economic Cooperation and Development has been supporting the initiative of this grand mechanization project through KFW,” he said.
KFW is supporting the government’s initiative to enhance agricultural mechanization and modernize the agricultural practice in Ethiopia.
DBE Vice President Asfaw pointed out that the project is improving productivity and production, livelihood of farmers, creating jobs, building capacity, and boosting the effort to ensure food security in the country.
Some 32 combine harvesters, 9 tractors and 9 implements, 50 agricultural mechanization machineries in total, have been handed over to service providers and farmers so far.
He revealed that 61 agricultural mechanization machines are also in the process of procurement.
Agriculture Ministry Advisor, Tamiru Habte thanked KFW, Development Bank of Ethiopia and the government for their role to the implementation of the project to enhance agricultural mechanization.
The Government of Ethiopia has exempted agricultural mechanization machines from import tax to enhance mechanization.
The Agricultural Mechanization Leasing Project has been funded by Germany's Ministry of Economic Cooperation and Development through KFW and executed by the Development Bank of Ethiopia in cooperation with the Ministry of Agriculture to accelerate agricultural mechanization and realize the potential of the agriculture sector.
The project launched in 2018 and is the first for KFW in Ethiopia.