President Dr. Irfaan Ali on Saturday announced the government’s decision to remove the corporate income tax on income earned by commercial banks when giving loans to farmers in the poultry sector.
He said local commercial banks will lower their interest rates on loans for the poultry sector from eight per cent to five per cent.
This measure takes effect from Monday, the President said during his live announcement from State House in Georgetown.
Citizens Bank, Republic Bank, Demerara Bank and the Guyana Bank for Trade and Industry (GBTI) agreed to this measure.
“All investments in the poultry sector will benefit from this… Reduced cost of financing will be available to the sector,” Dr. Ali posited.
Further, Dr. Ali explained that the government pursued this intervention as part of efforts to control the input costs for the sector. And the decision was taken following discussions with poultry farmers.
The President also pointed out that this intervention follows other measures instituted to provide support to farmers including the construction of farm to market roads, removing relevant taxes and stimulating investments needed to reduce inputs like animal feed.