BREAKING: World Bank Approves Fresh $500m Loan For Tinubu Government

World Bank has approved a fresh $500m loan for Tinubu Government to support food security and agricultural productivity in Nigeria.

 

NewsOnline Nigeria reports that the World Bank has approved a $500 million International Development Association (IDA) credit for Nigeria to enhance agricultural productivity, strengthen value chains, and improve food security under a new initiative tagged the Nigeria Sustainable Agricultural Value-Chains for Growth (AGROW) Project.

 

In a statement published on its website, the global lender said the programme is designed to tackle long-standing structural challenges in Nigeria’s agriculture sector, including low productivity, climate shocks, and weak market access despite the sector remaining the country’s largest employer.

 

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The bank noted that the AGROW project will focus on boosting smallholder farmers’ productivity, improving market linkages, and creating jobs, while driving sustainable food and nutrition security.

 

According to Mathew Verghis, the initiative is expected to benefit up to one million smallholder farmers and unlock significant private sector investment across the agricultural value chain.

 

The six-year programme, scheduled to run from 2026 to 2032, will deploy a results-based matching grant system to support agribusinesses that source produce directly from farmers. Key focus areas include aggregation, post-harvest handling, agro-processing, and improved market access.

 

The project will target major staple crops such as rice, maize, cassava, and soybeans, which are central to Nigeria’s food system and industrial supply chains.

 

In addition, the initiative will strengthen agricultural research and extension services, expand access to climate-resilient seeds, and introduce a national digital farm and farmer registry to improve transparency and planning.

 

Farmers will also benefit from digital advisory tools, including localized weather and climate data aimed at improving yields and resilience.

The AGROW project is further expected to address gaps in input systems by improving seed and fertilizer regulations, boosting early-generation seed supply, and encouraging private sector participation in high-quality input production.

 

The World Bank said the programme is designed to attract an additional $220 million in private agribusiness investment, reinforcing its market-driven approach to agricultural transformation.

 

The initiative forms part of broader efforts to transition Nigeria’s agriculture from subsistence farming to a commercially viable sector capable of generating jobs and reducing food inflation.

 

The approval comes months after the World Bank also cleared a separate $500 million financing package to support micro, small, and medium enterprises under the FINCLUDE programme, aimed at expanding access to credit and boosting business growth in Nigeria.