Wole Adeniyi, the Chief Executive Officer (CEO) of Stanbic IBTC Bank on Thursday declared that about $182 billion financing gap exists in Nigeria’s agriculture sector.
Adeniyi stated this in Abuja during his opening remarks at the 2024 StanbicIBTC Agribusiness Breakfast Summit, with the theme:”Driving Economic Transformation through Agro-processing: Building a Sustainable Future”.
He highlighted agriculture’s vital role in Nigeria’s economy, noting that agro-processing can significantly enhance the nation’s Gross Domestic Products (GDP) and also create jobs.
The boss called for collaboration among stakeholders to leverage technology and innovation, aiming to transform Nigeria into a leading agro-industrial hub in Africa.
“Agriculture is a vital contributor to our economy, providing livelihoods for millions of Nigerians and contributing significantly to our Gross Domestic Product (GDP).
“However, the true potential of agriculture lies beyond cultivation – it’s in value addition, transforming raw products into high-quality goods that can compete both locally and globally.
“Agro-processing has the power to unlock untapped potential, generate wealth, create jobs, and reduce post-harvest losses, positioning Nigeria as a leading agro-industrial hub in Africa.
“The Nigeria Economic Summit Group (NESG) in its H1 2024 outlook report, highlighted a significant gap in our tomato production. While annual demand is 2.2 million tonnes, we only produce 1.5 million tonnes annually, largely due to losses during post-harvest activities.
“Additionally, the agricultural sector faces a financing gap of USD 182 billion, despite government efforts to boost funding.As a leading financial institution, Stanbic IBTC Bank is committed to supporting the agricultural sector. We are providing much-needed financing for machinery and other inputs to improve productivity, reduce post-harvest losses, and bridge the financing gap.
“Transforming agriculture in Nigeria requires a multifaceted approach, addressing issues such as infrastructure, access to finance, technology adoption, and capacity building.
“We need to build a sustainable system that not only meets today’s needs but also ensures future generations can thrive.
“Together, we can enhance Nigeria’s agricultural landscape and make it a key driver of economic transformation and sustainable development.I encourage everyone here today to engage in discussions, share ideas, and form partnerships that will lead to profitable outcomes for all. Let us work together to build a sustainable future for Nigeria’s agriculture sector”.
Earlier, the Minister of Agriculture and Food Security, Sen. Abubakar Kyari, reiterated the government’s commitment to transforming agriculture into a viable business and fostering investment in the sector for sustainable economic growth.
Represented at the occasion by Mr Adebiyi Michael, Director, Agribusiness and Market Development, described the summit’s theme as apt aligning with President Bola Ahmed Tinubu’s declaration of a State of Emergency on food security.
Kyari highlighted the need for collaboration between public and private sectors to enhance agro-processing, boost food security, and create jobs.