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FG secures $134m AfDB loan for agricultural growth

THE Federal Government has successfully secured a $134m loan facility from the African Development Bank (AfDB) aimed at boosting agricultural production, particularly in the seeds and grains sector.

This funding was disclosed in a statement released by the Ministry of Agriculture and Food Security on Thursday, November 14.

The chief information officer at the Ministry of Agriculture and Food Security, Eremah Anthonia, in the statement, said the fund will support farmers across the country to increase production of key staple crops, thereby improving national food security.

“The Federal Government has secured a loan facility of $134m from the African Development Bank to help farmers boost seeds and grain production in the country,” the statement read.

The loan was announced by the minister of Agriculture and Food Security, Abubakar Kyari, during the flag-off of the 2024/2025 National Dry Season Farming initiative in Calabar.

Kyari, alongside Cross River State Governor Bassey Otu, represented by deputy governor Peter Odey, emphasised the importance of the loan for the continued development of Nigeria’s agricultural sector.

“The reintroduction of the national dry season farming is key to ensuring year-round agricultural production,” Kyari said.

“This loan will be instrumental in guaranteeing national food security, as it will support increased production of critical crops such as wheat, rice, maize, sorghum, soybean, and cassava,” he added.

Kyari disclosed that the loan is part of the National Agricultural Growth Support Scheme – Agro Pocket Project- a strategic initiative aimed at enhancing the capacity of Nigerian farmers to meet growing food demands.

He revealed that the Federal Government had already declared an emergency on food production, ensuring Nigerians have access to affordable, nutritious food.

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Kyari also provided an update on the ongoing support to farmers under the 2023/2024 dry season programme, saying, “To date, we have supported 107,429 wheat farmers under phase 1, 43,997 rice farmers under phase 2, and an additional 192,095 farmers growing rice, maize, sorghum, millet, soybean, and cassava across the country.”

The minister also highlighted Cross River’s pivotal role in Nigeria’s wheat production, noting that over 3,000 wheat farmers in the state would benefit from the new loan facility.

“Cross River has shown tremendous commitment to wheat production, which is why we are partnering with the state to enhance the country’s wheat supply, starting with the 2024/2025 dry season farming,” Kyari explained.

He said the initiative targets to support 250,000 wheat farmers across wheat-producing states, with an estimated output of 750,000 metric tons of wheat, which will help reduce Nigeria’s dependence on wheat imports.

Additionally, 150,000 rice farmers will be supported, with an expected output of about 450,000 metric tons of rice, covering all 37 states, including the Federal Capital Territory.




     

     

    The ICIR has earlier reported that African Development Bank (AfDB) has called for an overhaul of the global financial architecture that will see African countries’ access to ‘concessional loans’ devoid of the debt crisis.

    The report makes bold proposals to reform the global financial architecture.

    It states that giving Africa a greater voice in multilateral development banks and international financial institutions reflects the continent’s growing share of global gross domestic product and rich natural resources.

    It advocates for reforms to expedite debt workouts and ensure sustainable debt management for Africa, recognising the slow and cumbersome nature of existing debt resolution mechanisms.

    Harrison Edeh is a journalist with the International Centre for Investigative Reporting, always determined to drive advocacy for good governance through holding public officials and businesses accountable.

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