The Board of Directors of the African Development Bank Group (AfDB) has approved $200 million loan facility for Nigeria to boost the nation’s agricultural investments.
The development finance institution, in a statement on its website, indicated that the facility would support the second phase of the Federal Government’s National Agricultural Growth Scheme–Agro-Pocket (NAGS-AP) and help in boosting the sector’s productivity, strengthening value chains and accelerating climate-smart, data-driven farming.
The bank stated: “The approval follows earlier financing under the Bank Group’s African Emergency Food Production Facility and will contribute to implementing five programmes under the National Agricultural Technology and Innovation Policy (NATIP).
“The programmes focus on improving access to quality agricultural inputs, strengthening value chains for priority crops, revitalising extension services, promoting digital and climate-smart agriculture, and enhancing agricultural data management.
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“The funding is expected to raise staple crop production through climate-resistant, high-yield seed varieties and fertiliser blends tailored to local conditions.
“While expanding crop insurance coverage to protect farmers from climate-related losses”, it added
The AfDB projected that the fund would facilitate fivefold increase in wheat production and 20 per cent rise in rice output with the attendant implications for strengthening the nation’s food self-sufficiency and promoting commercial farming.
Commenting on the latest funding support for Nigeria, Director-General of the Bank’s Nigeria Country Department, Dr. Abdul Kamara, said the second phase of the programme built on the strong results of Phase One.
The banker explained: “Building on the strong results achieved under Phase 1, this second phase draws directly from those lessons and successes to scale up impact even further.
“By expanding access to quality inputs, digital tools, and climate-smart technologies, we are supporting farmers to improve productivity and resilience.
“This programme will continue to play a critical role in reducing food imports, boosting local production, and advancing inclusive growth across the country”, Kamara added.
The Phase One of the NAGS-AP programme featured an ICT-based system that delivered quality seeds, pesticides and fertiliser to farmers through more than 600 agro-dealers nationwide.
It also supported the cultivation of 118,000 hectares of wheat in the 2023/2024 dry season, tripling national wheat output to an estimated 0.5 million metric tonnes in 2024, with 650,000 smallholder farmers benefiting so far from the programme implementation.
The four-year project is scheduled to begin in March this year and aligns with the AfDB Group’s strategic vision to empower young people and women through technology and financial support.
