Updated 13 November 2026
AFC loans from the Agricultural Finance Corporation charge interest of 10% a year on a reducing balance, with special projects such as sugarcane financed at 5%. AFC, the state-owned farm lender, offers agribusiness loans repayable over up to 3 years, livestock and fisheries loans over 2 to 5 years, and seasonal crop credit repayable within 12 months. Most loans need tangible security such as a title deed. AFC commits to process small loans within 6 days and large loans within 10 days of application. This guide explains each product, the requirements, the cost and how to apply.
Updated 13 November 2026. Details come from AFC’s Access to Credit page and its Service Charter, checked on 13 November 2026. Note: AFC here is the Agricultural Finance Corporation of Kenya, not the Africa Finance Corporation.
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In this guide
AFC loans at a glance
| Item | Detail |
|---|---|
| Lender | Agricultural Finance Corporation (AFC), state-owned |
| Interest rate | 10% a year, reducing balance; 5% for special projects such as sugarcane |
| Usual repayment period | 36 months for most products |
| Longest repayment period | 60 months, depending on the product |
| Maximum loan | No cap; set by the business plan and repayment capacity |
| Processing time | 6 days for small loans, 10 days for large loans |
| Disbursement | Within 5 working days of signing the loan agreement |
| Branches | 48 across the counties |
| Processing fee for applications | Listed as free in the AFC Service Charter |
AFC loan products
AFC’s Access to Credit page features three main products. Each is open to individuals and groups.
| Product | What it funds | Repayment | Key requirements |
|---|---|---|---|
| Agribusiness | Farm businesses and value addition | Up to 3 years; 10% a year | Viable business, tangible security, 20% equity contribution to the project |
| Livestock and fisheries development | Livestock and fish production | 2 to 5 years, in annual instalments | Tangible security, suitable project, experience in the enterprise |
| Seasonal crop credit | Maize, wheat, potatoes, rice and other food crops maturing within 12 months | Up to 12 months | Suitable crop, tangible security; minimum 5 acres for maize and wheat |
The 5-acre minimum for seasonal maize and wheat loans means AFC crop credit suits medium and large growers more than smallholders. Maize farmers in the main grain counties, listed in our guide to the top maize-producing counties in Kenya, are the core market. Smallholders with less land often borrow through their Sacco instead.
What AFC loans cost
Because AFC charges 10% on a reducing balance, interest falls as you repay. The table shows what monthly repayment would look like at 10% a year. It is a Business Radar illustration only: livestock loans are repaid in annual instalments, and seasonal loans are usually repaid after harvest.
| Loan amount | Term | Monthly repayment | Total interest |
|---|---|---|---|
| KSh 200,000 | 12 months | KSh 17,583 | KSh 10,998 |
| KSh 500,000 | 36 months | KSh 16,134 | KSh 80,809 |
| KSh 1,000,000 | 36 months | KSh 32,267 | KSh 161,619 |
| KSh 2,000,000 | 60 months | KSh 42,494 | KSh 549,645 |
At 10%, AFC loans are among the cheapest formal farm credit in Kenya. Add the cost of the security (valuation and legal charge fees) and the 20% equity contribution for agribusiness loans when you plan. Input costs matter as much as the loan; check current fertiliser prices in Kenya and the fertiliser companies in Kenya before you budget.
Security and requirements for AFC loans
- Tangible security: usually a title deed. AFC also accepts debentures, bank guarantees and cash deposits, but only under its risk-sharing facilities.
- Someone else’s title: allowed, if the legal documents supporting the arrangement are properly executed.
- A viable project: AFC sizes the loan on your business proposal, your ability to carry out the project and your repayment capacity.
- Own contribution: 20% of the project cost for agribusiness loans.
- Experience: required for livestock and fisheries loans.
If your land is not yet titled, see our guide on how to get a title deed in Kenya, and compare other lenders that accept land in our list of title deed loan providers.
How to apply for an AFC loan
- Prepare a project proposal: what you will produce, costs, expected sales and how you will repay.
- Apply: at any of AFC’s 48 branches, or start online through the eCitizen platform or AFC’s customer feedback portal.
- Submit documents: application letter or form, project proposal and security documents. AFC promises feedback within 48 hours on missing documents.
- Appraisal: AFC inspects the project and security. Small loans are processed within 6 days, large loans within 10 days.
- Sign and receive funds: once legal documents are perfected and the loan agreement signed, AFC disburses within 5 working days.
- Repay: pay into AFC accounts at any bank or bank agent with your account clearly referenced. Registered clients can also use AFC’s Vuna mobile app.
AFC does not normally give top-ups on running loans. It asks clients to clear the current loan first because it lends from a revolving fund. Repeat borrowers go through a shorter process, since AFC already holds most of their details.
Timelines and complaints
AFC’s Service Charter lists these free services: a reply to written enquiries within 5 working days, email enquiries within 12 hours, loan appeals answered within 7 days, one free annual loan statement, and an official receipt for every repayment. Complaints go to complaints@agrifinance.org or the hotlines 0704 153773 and 0788 524998. If unresolved, you can escalate to the Commission on Administrative Justice (Office of the Ombudsman).
If a project fails, AFC says it inspects the project to find the cause and then sets mitigation measures. Talk to the branch early rather than missing instalments.
Frequently asked questions
What is the AFC loan interest rate?
10% a year on a reducing balance. Some special projects, such as sugarcane, are financed at 5% under partnerships.
How long does an AFC loan take?
AFC commits to process small-scale loans within 6 days and large-scale loans within 10 days of application, then to disburse within 5 working days of signing.
Can I get an AFC loan without a title deed?
Usually you need tangible security. Debentures, bank guarantees and cash deposits are accepted only under risk-sharing facilities, and you may pledge another person’s title with proper legal documents.
What is the maximum AFC loan?
There is no fixed cap. AFC sizes each loan on the business proposal, your ability to implement it and your repayment capacity.
How do I repay an AFC loan?
Pay into AFC’s accounts at any bank or bank agent, quoting your account number, or use the Vuna app if you are a registered client.
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