Sidian Bank - Digifarm Farmer Production Financing (Input Credit Product)

This is a digital loan product designed for smallholder farmers to access affordable credit for agricultural inputs (e.g., seeds, fertilizer) and services (e.g., insurance, soil testing). The loan is repaid after harvest, with flexible terms tailored to specific value chains like dairy, maize, and potatoes.

It addresses challenges like high credit costs and limited access to inputs by offering:

• Affordable interest rates (monthly).
• Bundled insurance to mitigate risks.
• Redemption of inputs via vetted agrovets/service providers.
• Repayment aligned with crop cycles or milk sales.

Dairy, potatoes, maize, sorghum, rice, coffee, and tea. Additional value chains may be added later.

• Smallholder farmers registered on Digifarm's USSD/App.
• Farmers in structured value chains with verified buyers/offtakers.
• Must have a valid national ID and mobile number.

• Register on Digifarm via USSD (*944#)
• Complete KYC (name, ID, location, acreage).
• Opt in for the loan and receive a credit limit.
• Make a 17.5% down payment via M-PESA.
• Redeem inputs at approved agrovets/service providers.

It's based on:

• Digifarm's credit score (farm size, historical data).
• Sidian Bank's internal assessment.
• Value chain requirements (e.g., up to KES 50,000 for dairy).

• Down payment: 17.5% of the loan amount.
• Platform fee: 1–2.5% (depending on value chain).
• Interest rate: monthly (Bank will advise from time to time on the interest rate).

• Dairy: 40 days (aligned with milk payments).
• Potatoes: 120 days.
• Maize: 180 days.
• Tea – monthly

Terms vary by crop cycle.

Yes, multiple redemptions are allowed within your approved credit limit.

• Via M-PESA to Sidian Bank's Paybill number.
• Check-off deductions through buyers/cooperatives (where applicable).
• Partial repayments are encouraged, with incentives for early settlement.

• SMS reminders and calls from Sidian Bank's collections team.
• Late repayment fees apply.
• Defaults may affect future credit eligibility.

Yes! Discounts on interest, airtime, or loyalty points (details shared at disbursement).

• Bundled insurance (via ACRE Africa) covers weather risks, pests, and diseases.
• Contact Digifarm/Sidian Bank for claims assistance.

• Data is shared only with consent during onboarding.
• Used solely for credit scoring and service delivery.

• Digifarm's support team (first point of contact).
• Escalated issues resolved jointly with Sidian Bank.

• Digifarm USSD/App: Dial *944# or use the Digifarm app.
• Call Digifarm Support: 0701944944

Approved agrovets and service providers listed on Digifarm's platform.