April 9, 2025

The African Development Bank (AfDB) says it is mobilising $2.2 billion to develop agricultural processing zones in 8 states in Nigeria to boost food security as the country spent $4.7 billion importing food in 2024.

The bank’s President, Akinwumi Adesina was speaking in Kaduna state on Tuesday while launching the first phase of the initiative that is targeting five states.

The $538 million first phase of the Special Agro-industrial Processing Zones program project includes eight states: Kaduna, Kano, Kwara, Cross River, Imo, Ogun, Oyo, and the Federal Capital Territory.

According to an earlier statement by the AfDB, “the program was launched in 2022 with $210 million from the AfDB and support from the Islamic Development Bank, the International Fund for Agricultural Development, and ARISE Integrated Industrial Platforms.

“The Special Agro-Industrial Processing Zones program will boost Nigeria’s food production and reduction importation, generate jobs for youth, safeguard the country’s foreign exchange, and transform rural areas from areas of misery into zones of prosperity.

“Last year, Nigeria spent $4.7 billion importing food. The Special Agro-Industrial Processing Zones program is designed to reverse this trend by unlocking local production potential and strengthening agro-industrial value chains nationwide.

“This initiative will increase agricultural productivity by over 60%, reduce post-harvest losses and strengthen value chains from farm to market.

The cities of Kaduna and Cross River will host the Agro-Industrial Hubs, Agricultural Transformation Centres, and Aggregation Centres in the production zones, which are the foundational building blocks of the SAPZ program.

The AfDB head said the funding needs for the second phase would be presented to the AfDB board shortly for approval.

“We have been able, I would like to say, to mobilise $2.2 billion of investment interest to support the second phase across Nigeria,” he said during the ceremony in Kaduna.