The World Bank has approved a five hundred million dollars ($500m) International Development Association (IDA) credit to strengthen Nigeria’s agricultural sector through a new programme.
According to World Bank, the initiative was designed to support smallholder farmers, improve value chains, and enhance food security.
The project, known as the Nigeria Sustainable Agricultural Value Chains for Growth Project (AGROW), will run from 2026 to 2032.
It aims to raise productivity, expand market access, and generate employment opportunities, particularly for women and young people.
In a statement released on Thursday, the bank acknowledged agriculture as Nigeria’s largest employer, but stated that the sector continues to underperform due to low productivity, poor access to quality inputs, climate shocks, and weak market linkages.
Reports insisted that many smallholder farmers remain locked in subsistence farming, while food and nutrition insecurity persists nationwide.
AGROW will provide results-based matching grants to agribusinesses sourcing produce from smallholder farmers.
Furthermore, the programme will prioritise crops such as rice, maize, cassava, and soybeans, while also investing in aggregation, post-harvest handling, and agro-processing.
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It promised to strengthen agricultural research and extension services, expand access to climate-resilient seeds, and establish a national digital farm and farmer registry.
Farmers are expected to benefit from digital advisory services, including weather and climate information, to improve resilience and yields.
Seed and fertiliser regulatory systems will also be upgraded, with measures to boost early-generation seed supply and encourage private sector participation in producing high-quality inputs.
World Bank Country Director for Nigeria, Mathew Verghis, described AGROW as “a transformative step for Nigeria’s agriculture—empowering smallholder farmers, unlocking private sector–led growth, and strengthening food security in a sustainable way.”
Verghis added that the project is expected to benefit up to one million farmers and attract an additional two hundred and twenty million dollars ($220m) in private agribusiness investment.
Meanwhile, Nigeria’s reliance on concessional financing remains high according to data from the Debt Management Office (DMO).
DMO revealed that the country’s exposure to the World Bank Group stood at over nineteen billion dollars ($19.54bn) as of September 2025, representing over 40 per cent of its total external debt stock.