Manny Ita –
The World Bank has officially approved a $500 million credit facility from the International Development Association to support the Nigeria Sustainable Agricultural Value-Chains for Growth project, also known as AGROW. This six-year initiative, scheduled to run from 2026 to 2032, is designed to tackle the systemic challenges hindering Nigeria’s agricultural sector, including low productivity, high post-harvest losses, and limited market access. By focusing on smallholder farmers and private sector integration, the project aims to transition subsistence farming into a commercially viable agribusiness model while bolstering national food and nutrition security.
Central to the AGROW project is a results-based matching grant facility intended to incentivize agribusinesses to source their raw materials directly from smallholder farmers. This mechanism targets key staple crops—specifically rice, maize, cassava, and soybeans—and will provide critical funding for aggregation, post-harvest handling, and agro-processing. The World Bank expects this framework to mobilize an additional $220 million in private sector investment, creating a more robust and self-sustaining agricultural ecosystem that can better withstand economic and environmental shocks.
A major technical component of the initiative involves the establishment of a national digital farm and farmer registry to improve transparency and resource distribution. This digital infrastructure will be paired with enhanced agricultural research and extension services to provide one million smallholder farmers with access to climate-resilient seeds and real-time weather and climate intelligence. By strengthening the regulatory systems for essential inputs like seeds and fertilizers, the project seeks to ensure that farmers have consistent access to high-quality materials necessary to increase crop yields and improve overall efficiency.
World Bank Country Director for Nigeria, Mathew Verghis, emphasized that the AGROW project is a transformative step toward unlocking private sector-led growth in a sector that remains Nigeria’s largest employer. Beyond increasing food production, the initiative is expected to create thousands of jobs across the agricultural value chain, particularly in processing and marketing. As Nigeria continues to grapple with food inflation and climate vulnerability, this $500 million investment represents a strategic effort to build long-term resilience and ensure a more stable food supply for millions of citizens across participating states.
