The National Agricultural Development Fund (NADF), in collaboration with Flour Mills of Nigeria (FMN) and NOVA Merchant Bank, has launched a new N1.5 billion initiative aimed at cultivating 1,500 hectares of farmland.
This programme is set to engage 1,500 smallholder farmers and marks the first phase of the NADF’s on-lending scheme under the National Agricultural Development Programme (NADP-1).
The announcement of the initiative took place during a press event in Abuja. The project is designed to enhance agricultural value chains, improve productivity for farmers, and support the federal government’s food security and market priorities as part of the Renewed Hope Agenda led by President Bola Tinubu.
In his remarks at the launch, Mohammed Ibrahim, Executive Secretary of NADF, highlighted that the initiative offers a new model for financing in agriculture. He emphasized that the programme shows how smallholder farmers can be integrated into a profitable and sustainable system. Through strategic partnerships, financial support, and a focus on value chains, the programme aims to transform agriculture into a key contributor to national development.
Sadiq Usman, the Managing Director of FMN Agro, focused on the importance of improving crop yields and creating resilient supply chains. He stated that the initiative aligns with their mission to enhance the profitability of farmers. Usman explained that the first phase of the project will focus on maize farming in Kaduna State, which accounts for 20 percent of Nigeria’s maize production.
He pointed out that Kaduna is home to many productive farmers, making it an ideal location to demonstrate how improved seeds, better nutrition, and sound farming practices can increase yields.
Uzoma Ayonmike, Group Head of Corporate Banking at NOVA Merchant Bank, expressed confidence in the success of the venture.
She pointed out that agriculture is a fundamental pillar of Nigeria’s economic growth, and their involvement marks a step forward in achieving food security and economic inclusion.
Ayonmike added that NOVA Merchant Bank was proud to be the first financial institution to release funds under the NADF pilot phase.
Esosa Igbineweka, Head of Value Chain Banking at NOVA, provided further insight into the selection process for the programme’s implementing partner.
He explained that since NADF cannot lend directly to farmers, it relies on intermediaries like FMN Agro, who must meet rigorous performance and risk management standards.
According to Igbineweka, FMN Agro has a proven track record of successfully engaging with smallholder farmers, making it a suitable partner for the initiative.
