The Deutsche Gesellschaft fur Internationale Zusammenarbeit (GIZ), a German-based international organization, has invested N9 billion to support agricultural transformation in Nigeria's Northwest region. Over 30,000 farmers have accessed finance under the project, with 87% residing in Kano, Kaduna, and Kebbi states.
Partners and Implementation
Key implementing partners include the Central Bank of Nigeria (CBN), Bank of Agriculture (BOA), Nigerian Agricultural Insurance Corporation (NAIC), Jaiz Bank, FCMB, Wema Bank, Access Bank, International Institute of Tropical Agriculture (IITA), Rice Farmers Association of Nigeria (RIFAN), Food and Agriculture Organization (FAO), numerous microfinance banks, and state governments.
Andrea Ruediger, Cluster Coordinator for Transformation of Agri-Food Systems, announced this in Kano during the closing ceremony of the Global Project: Promotion of Agricultural Finance for Agric-based Enterprises in Rural Areas. Ruediger explained that the program was designed to link financial institutions with agri-businesses through demand-driven advisory services and improved access to suitable financial products.
Project Background and Impact
The project was initiated by the German government to address challenges in Nigeria's agri-food system, including population growth, climate change, land degradation, market inefficiencies, and limited access to finance. After eight years of implementation in Kano, Kaduna, and Kebbi, the Ag-Fin project is closing. Ruediger noted that farmers have fully repaid all loans, enabling them to continue their businesses and improve livelihoods.
She expressed GIZ's satisfaction with the project's success, particularly the development of financial products by 11 financial institutions to support value chains in rice, maize, and Irish potato production. "The input credit for the project, with its budget of 8 million Euros, has facilitated 42 million Euros in finance—that is 9 billion naira—disbursed over the course of the project. These are all commercial credits. It is important to know that there was no preferential or concessionary finance. No grants were given. It is purely through good business model analysis, trainings, and financial products development," she said.
Government and Stakeholder Reactions
The Federal Ministry of Agriculture and Food Security, represented by Dr. Aliyu Ochonomo, stated that the ministry has partnered with GIZ since 1974 to support small-scale farmers, without whom no nation can exist. He assured that the government will continue collaborating to achieve food security as outlined in the Renewed Hope agenda for agriculture.
Kano State Commissioner for Livestock Development, represented by Dr. Abubakar Sani Inuwa, noted that the state has greatly benefited from the project and advised beneficiaries to utilize the knowledge for future generations.
Dr. Jamilu Abdullahi, Assistant Director at the Nigerian Agricultural Extension and Research Liaison Services, Ahmadu Bello University, Zaria, reported that over 5,000 farmers were trained and 22 financial products developed to improve access to finance. He emphasized that although the project is closing, it should not be a farewell but a continuation of unlocking financial and agri-business opportunities to transform the lives of Nigerians.
