Abuja, Nigeria — The Bank of Agriculture (BOA) has secured a $1 billion facility aimed at strengthening support for smallholder farmers and enhancing food production across Nigeria.
The funding, announced on Wednesday, is part of a broader strategy to modernize the country’s agricultural sector, reduce food imports, and promote food security. According to BOA officials, the facility will be deployed to expand access to affordable credit for small-scale farmers, who make up the backbone of Nigeria’s agricultural workforce.
The initiative will prioritize financing for critical value chains, including rice, maize, cassava, and livestock, while also supporting mechanization, irrigation, and storage infrastructure.
“This facility represents a major step toward empowering our smallholder farmers with the resources they need to increase productivity and competitiveness,” a BOA spokesperson said. “It will help close the gap in agricultural financing, which has long been a challenge in Nigeria’s rural economy.”
Analysts say the $1 billion boost could provide a lifeline for millions of farmers struggling with rising input costs, climate-related challenges, and limited access to financing. The Bank of Agriculture is expected to work with state governments, cooperatives, and farmer associations to ensure broad coverage and effective deployment of the funds.
The development aligns with the Federal Government’s renewed focus on agriculture as a key driver of economic diversification, job creation, and rural development.
Industry experts note that if effectively implemented, the intervention could reduce Nigeria’s dependence on imported food, improve rural livelihoods, and contribute significantly to GDP growth.
