The Minister of Budget and Economic Planning, Senator Abdubakar Atiku Bagudu, has highlighted Nigeria’s impressive strides in agricultural financing in boosting the country’s agriculture sector.
The Minister gave this highlights during a high level policy meeting with members of the Mozambique Stakeholders in Agriculture Financing, who paid him a courtesy visit yesterday, in Abuja.
Speaking, Bagudu emphasized Nigeria’s innovative use of technology and institutions, such as the Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL Plc) to mitigate risks associated with agricultural lending, particularly in Africa’s largest economy. He lauded the success of government-backed initiatives like the Anchor Borrowers Programme (ABP) and the Agricultural Credit Guarantee Scheme Fund (ACGSF) which have thrived despite initial criticisms.
In his words “Nigeria’s approach to de-risking agricultural lending has yielded tangible results. Through the integration of technology and the establishment of NIRSAL, we have significantly reduced the risk for lenders participating in agric-lending schemes.” The Minister elaborated on Nigeria’s journey towards achieving inclusive growth in the agricultural sector, stressing the pivotal role of institutions such as the Bank of Agriculture and NIRSAL Plc. More so, he underscored the importance of leveraging financial technology to streamline processes and enhance transparency in agricultural financing.
The Mozambican delegation led by the National Director for Promotion of Commercial Agriculture, Ministry of Agriculture, Mozambique, Jaime Robert Chissico expressed his admiration for Nigeria’s achievements in food production saying that they sought to learn from Nigeria’s experience in agricultural financing, with the hope of replicating similar successes in their country.
He also acknowledged Nigeria’s leadership role in Africa and expressed optimism about leveraging the Nigerian model to enhance agricultural financing in Mozambique. Also, the facilitating Project Consultant from Food and Agriculture Organization (FAO) Dr. Steve Ogidan, emphasized the importance of South-South Cooperation and underscored Nigeria’s progress in ensuring food security and inclusivity in agriculture.
Dr. Ogidan further emphasized on the significance of learning from Nigeria’s experience to advance food security goals in Mozambique.
Mark Kofi Fynn, the FAO Policy Officer for Africa, reiterated FAO’s commitment to supporting Sustainable Development Goal 2, aimed at achieving zero hunger.
He underlined the need for increased financing to transform the agricultural food system across the continent.
The visit of the Mozambican delegation underscores the growing recognition of Nigeria’s innovative approaches to agricultural financing and sets the stage for enhanced collaboration in advancing food security and sustainable development across Africa.
The high level delegation of Mozambique comprised of
-Ministry of Agriculture and Rural Development, Mozambique
-Bank of Mozambique (Central Bank)
-Food and Agriculture Organization, Mozambique
-Successary Nigeria Limited
-Ministry of Economy and France
-Food and Agriculture Organization Accra, Ghana.
Julie Osagie- Jacobs,
Director Information (BEP)
21th February, 2024