Ministry of Agriculture is investigating KTDA for Sh18.2 billion loan taken to pay an early bonus to tea farmers ahead of elections in August.
— Moe (@moneyacademyKE) January 5, 2023
The Agriculture CS accused the previous administration for coercing KTDA to take the loan.
— Business Daily
The money was borrowed from multiple banks that included NCBA and Standard Chartered Bank Kenya.
The loan has subjected farmers to extra costs as they are paying interest on the borrowed amount through their respective factories.
For instance, farmers in Chinga tea factory in Nyeri had to pay close to Sh3 million in interest from the Sh200 million that they had received to pay an early bonus, according to the management.