BusinessFeaturedNews

Special Agro Industrial Processing Zones: AFDB, Partners to fast-track Programme in Nigeria

The African Development Bank Group has reached an agreement with participating Nigerian state governments to speed up implementation of a program designed to develop eight new agro-industrial zones in the country. The agreement emerged from a two-day meeting in Abuja, on October 7-8, attended by senior government and bank officials and representatives of financing partners and the private sector.

The Nigeria Special Agro Industrial Processing Zones (SAPZ) program, launched in 2022, aims to create new hubs that integrate the production, processing and distribution of targeted crops and livestock to achieve food security, increase incomes, improve livelihoods, and support economic diversification. By significantly reducing dependence on food imports and boosting exports, SAPZs are expected to boost the country’s foreign exchange reserves.

To implement the first phase of the SAPZ project in seven states and the Federal Capital Territory, the program has mobilized $538m in co-financing from the African Development Bank Group, the International Fund for Agricultural Development (IFAD), the Islamic Development Bank (IsDB) and the Federal Government of Nigeria, according to a statement by the AfDB.

According to the Director General of the AfDB’s Nigeria Country Department, Dr. Abdul Kamara, the meetings were aimed at strengthening collaboration among key stakeholders, including the private sector. Participants shared ideas and lessons learned, goals, and agreed on practical next steps to accelerate the implementation of Phase 1 of the program. The next phase of the programme will expand to include other state governments.

The first phase of the Nigeria SAPZ programme is expected to unlock about $1 billion in private sector investments, benefiting an estimated 1.5 million households, including private agribusinesses, agro-processors, smallholder farmers, agripreneurs, and agrodealers, and creating a minimum of 400,000 direct jobs and 1.6 million indirect jobs, especially for women and youth.

The statement added that Nigeria’s Minister of Finance and the Coordinating Minister of the Economy, Wale Edun, who attended the meetings, said, “With inflation coming down, the reserves growing and the exchange rate stabilizing, success is being seen under the macroeconomic stabilization efforts of President Bola Tinubu. That is why the SAPZ program cannot and must not disappoint.”

Minister of Agriculture and Food Security, Abubakar Kyari, said, “The need to align all our efforts at the federal and state levels as well as with our development partners is germane, so that the momentum we gain here translates into tangible outcomes for the target beneficiaries, particularly those in rural areas where the SAPZs will have their greatest impact.”

Author

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button