The federal government has approved a ₦1.5 trillion capital injection into the Bank of Agriculture, a move expected to improve credit access for young people and women in the agricultural sector.
This decision, authorised by President Bola Tinubu, is being described by the Ministry of Agriculture and Food Security as the most substantial investment in agricultural financing Nigeria has ever seen.
The funds are aimed at repositioning the Bank of Agriculture as a more efficient development finance institution focused on inclusive growth.
The recapitalisation will support easier access to loans and capacity-building opportunities for youth and women-led agribusinesses across the country.
According to the Minister of Agriculture and Food Security, Abubakar Kyari, this initiative will support broader efforts to modernise Nigeria’s agriculture.
Kyari explained that the National Agricultural Technology and Innovation Policy, NATIP, will play a major role in this transformation by promoting mechanisation, advancing digital tools, and strengthening the link between agricultural research and commercial outcomes.
“NATIP lays the foundation for a technology-enabled agricultural sector that encourages participation from younger Nigerians. This includes investing in innovation and creating the kind of ecosystem where productivity and ambition are rewarded,” he said.
In May 2025, the government launched the National Agribusiness Policy Mechanism under the coordination of the Presidential Food Systems Coordination Unit. This framework is designed to ensure that policies lead to practical results, such as improved lending systems and support services for farmers and agro-entrepreneurs.
Kyari emphasised that annual lending targets will be set for agribusinesses led by women and youth.
He noted that finance strategies must go beyond collateral and be built around the realities of business operations, including cash flow and access to training.
“Expanding access to finance must not come with inflated costs. It should focus on supporting those who are ready to grow and contribute to food security,” he said.
According to the ministry, early implementation of these reforms has already impacted around 250,000 farmers across various states.
The results, although still in the early stages, are seen as evidence of the programme’s potential when supported with clear leadership and coordination.
The minister also highlighted that the National Agricultural Development Fund is already partnering with private and public institutions to develop storage facilities, aggregation points, and logistics systems to support rural farmers and enable more value-added production.
Kyari reiterated that President Tinubu’s Renewed Hope Agenda places strong emphasis on food production and employment as interconnected priorities for national development. He added that the goal is to reduce dependency on food imports and strengthen Nigeria’s ability to feed itself sustainably.
“Our responsibility is to make this vision work by unlocking the capacity of Nigerians, especially young people and women, in agriculture. That is how we build lasting resilience in our economy and communities,” he said.
