President William Ruto has unveiled a series of new regulations pertaining to debt management and lending practices within coffee cooperatives. The measures were revealed during the 9th Annual Dairy Farmers Field Day Celebrations in Meru County, marking a significant shift in financial operations within the sector.

Ruto disclosed, “Going forward, no debt will be taken by the management or by the board until it is approved at the general meeting so that farmers can know how much is being taken and what is going to be used for.” This directive underscores the need for transparency and farmer involvement in financial decisions affecting their livelihoods.

The President further outlined the provision of an affordable loan fund amounting to Ksh6 billion for coffee farmers, emphasizing an attractive interest rate of 3.6 percent to facilitate sustainable growth within the industry. Additionally, Ruto emphasized the exclusion of coffee cooperative boards from independently acquiring loans, stressing that any borrowing must be sanctioned during the Annual General Meeting with farmer representation.

In a bid to alleviate the burden on farmers and enhance financial prudence, Ruto underscored the importance of leveraging the government’s low-interest loan facility rather than resorting to higher-cost alternatives. ng the agricultural community in Kenya.