The African Development Bank (AfDB) has approved the sum of $210 million in loans for Nigeria to impact the lives of millions of people in Africa’s most populous country.
This was disclosed by the bank via a statement issued on Tuesday.
According to the lender, the loan will co-finance Phase 1 of the Nigeria Special Agro-Industrial Processing Zone Program.
What AfDB is saying about the loan
It stated, “A $210 million loan approved by the African Development Bank’s Board of Directors on Monday could impact the lives of millions of people in Africa’s most populous country.
“The loan will co-finance Phase 1 of the Nigeria Special Agro-Industrial Processing Zone Program. The program will help to unlock Nigeria’s agriculture sector potential. It will promote industrialization through the development of strategic crops and livestock.
“African Development Bank financing for this program represents one of the Bank’s most ambitious operations in terms of scale and scope to date. It is made up of an African Development Bank loan of $160 million and an Africa Growing Together Fund loan of $50 million. Phase 1 of the project will target seven Nigerian states and the country’s Federal Capital Territory.
“The project will support Nigeria’s efforts to raise agricultural productivity, promote investment, create wealth and jobs, and transform rural areas into corridors of economic prosperity. Its first phase will be implemented with co-financing from other partners in the amount of $538.05 million.
“We have several million hectares of available arable land and have embarked on the creation of Special Agriculture Processing Zones across the country,”
What you should know
The Special Agro-Industrial Processing Zones Program is expected to bring economic infrastructure to rural areas of high agricultural potential. These zones will attract private agro-industrialist and entrepreneur investment, contribute to Nigeria’s economic and social development, and stem rural-to-urban migration.
The project areas account for 19% of Nigeria’s total landmass and will benefit 50.4 million people. The states where the first phase of the program will be implemented were selected based on a readiness criterion as well as the need to ensure geographical balance across Nigeria’s six geo-political zones.
In addition to African Development Bank financing for Phase 1 of the Nigeria project, the Islamic Development Bank and the International Fund for Agricultural Development will provide parallel co-financing. Nigeria’s federal and state governments will contribute both in cash and in-kind.
Thanks sir for your effort tpie etc,but sir , loan to sta increaso caward productive agriculture to boast employment ,internal revenue of the nation , export, per capita increase etc, but sir why not invite direct foreign agro investment to the country and use the loan fund to partner with them, for me this will enable employment of Agric graduate, adaption of their technology, better environmental management ,quick recovery of the loan , availability of food stuff at all time etc .
Thanks sir for your effort to boast agriculture in Nigeria and Africa ,but sir , loan to state for productive agriculture to boast employment ,internal revenue of the nation , export, per capita increase etc, always fail from past experiences but sir why not invite direct foreign agro investment to the country and use the loan fund to partner with them, for me this will enable employment of Agric graduate, adaption of their technology, better environmental management ,quick recovery of the loan , availability of food stuff at all time , good international relationship. I will prefer well articulated terms particularly on employment training, years of disengagement , export of products etc.
This is a right step in the right direction. I wish a significant portion of the funds will be utilized in provision of sound extension services to facilitate quality production in keeping with international best practices.