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Reading: AfDB Approves $200 Million Loan for Climate-Smart Farming in Nigeria
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AfDB Approves $200 Million Loan for Climate-Smart Farming in Nigeria

Ogungbayi Feyisola Faesol
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Ogungbayi Feyisola Faesol
ByOgungbayi Feyisola Faesol
Faesol is a journalist at Okaynews.com, reporting on business, technology, and current events with clear, engaging, and timely coverage.
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Published: 2026/02/14
2 Min Read
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The African Development Bank
The African Development Bank
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Abuja, Nigeria – The African Development Bank has approved a $200 million loan to support climate-smart and technology-driven agriculture in Nigeria, aiming to strengthen food security and boost productivity nationwide.

Okay News reports that the financing will fund the second phase of the National Agricultural Growth Scheme – Agro-Pocket. The programme expands access to quality inputs, modern technology, and data-driven farming practices. The loan builds on earlier interventions under the Bank’s African Emergency Food Production Facility. Implementation will run for four years starting March 2026.

Abdul Kamara, the Bank’s Director General for Nigeria, said the second phase draws from lessons learned in phase one to expand impact. “By expanding access to quality inputs, digital tools, and climate‑smart technologies, we are supporting farmers to improve productivity and resilience,” Kamara stated. He added that the programme will help reduce food imports and boost local production.

Phase one delivered measurable results through an ICT-based input system. More than 600 agro-dealers supplied certified seeds and fertilisers to farmers. About 118,000 hectares of wheat were cultivated during the 2023/2024 dry season. Consequently, national wheat output tripled to an estimated 500,000 metric tons in 2024. Roughly 650,000 smallholder farmers benefited from the first phase.

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The new phase targets a fivefold increase in wheat output and a 20 percent rise in rice production. It supports Nigeria’s National Agricultural Technology and Innovation Policy, focusing on improved input access, stronger value chains, and digital agriculture.

Agriculture employs about 38 percent of Nigeria’s workforce and contributes roughly a quarter of GDP. However, the sector faces structural constraints. Limited access to improved seeds has constrained yields. Climate stress and soil degradation continue to disrupt production. Therefore, this climate-smart agriculture funding directly addresses these vulnerabilities.

In November 2025, the Bank approved a separate $500 million loan for Nigeria’s economic governance programme, demonstrating continued commitment to the country’s development.

What happens next depends on effective implementation and input distribution to farmers across Nigeria’s agricultural belts.

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TAGGED:African Development BankNigeria Agriculture
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