The World Bank has approved a $500 million International Development Association (IDA) credit to support Nigeria’s agriculture sector through a new initiative known as the Nigeria Sustainable Agricultural Value-Chains for Growth (AGROW) Project.
The financing, announced on March 31, 2026, aims to raise productivity among smallholder farmers, strengthen agricultural value chains, create jobs, and enhance food and nutrition security across the country.
According to the World Bank, the AGROW Project will focus on linking smallholder farmers more effectively to markets and agribusinesses while addressing long-standing structural challenges such as low productivity, climate vulnerability, and weak market access.
“The AGROW Project is a transformative step for Nigeria’s agriculture, empowering smallholder farmers, unlocking private sector-led growth, and strengthening food security in a sustainable way,” said Mathew Verghis, World Bank Country Director for Nigeria.
The project will support agribusinesses that commit to sourcing produce from smallholder farmers through a results-based matching grant facility. Key areas of intervention include aggregation, post-harvest handling, agro-processing, and improved market access.
Priority crops targeted under the programme include rice, maize, cassava, and soybeans — staples that are central to Nigeria’s food system and industrial value chains.
Additional components will focus on strengthening agricultural research and extension services, expanding access to improved and climate-resilient seeds, and establishing a national digital farm and farmer registry to enhance planning and transparency. Farmers will also benefit from digital advisory services, including localised weather and climate information to improve yields and resilience.
The initiative will address critical gaps in input systems by improving seed and fertiliser regulatory frameworks, increasing early-generation seed supply, and supporting private sector production of high-quality inputs. It will also promote transparent land-based investments to attract more private capital into agriculture.
The six-year project, running from 2026 to 2032, is expected to crowd in an additional $220 million in private agribusiness investment, reinforcing its market-driven approach.
The AGROW Project aligns with Nigeria’s national priorities to boost agricultural productivity, generate employment, and deepen value addition. It also forms part of the World Bank’s broader Agriconnect initiative aimed at transforming smallholder farming systems globally.
This latest approval comes roughly three months after the World Bank approved another $500 million facility to expand access to credit for micro, small, and medium enterprises in Nigeria, highlighting continued international support for key sectors facing funding and structural challenges.
The intervention is expected to benefit up to one million smallholder farmers while helping to reduce food inflation and improve nutrition outcomes in Africa’s most populous nation.
