The African Development Bank (AFDB) has set aside $25 billion for investment in the development of agriculture in five African countries namely: Nigeria, Gabon, Mali, Sudan, and Senegal.
The AfDB President, Akinwumi Adesina made this known in a statement on Wednesday. He stated that the funds would be shared among the five African countries.
Adesina also explained that the fund would help Nigeria evolve from a net fertilizer importing country to a fertilizer exporting nation.
He said, “In Nigeria, the Bank is supporting Indorama Eleme Fertilizers and Chemicals with $210 million for the construction and operation of two urea fertilizer plants, with a capacity of 2.8 million tons per annum.
“The Bank provided a $300 million corporate loan to Dangote Industries, for the establishment of a crude oil refinery and a urea fertilizer plant with 2.8 million tons per year capacity.”
He also predicted that the African agriculture sector will produce millionaires and billionaires taking into account the size of the food and agriculture market estimated at over $1 trillion by 2030.
He emphasized the importance of the Africa Continental Free Trade Area (AfCFTA), adding that countries in Africa must use the market effectively by producing more food through agro-industrialization that supports smallholder farmers and the private sector.
Adesina said, “With a large number of youth moving into Agriculture, AfDB has provided $406 million to support 23,000 young agripreneurs in 14 countries, as well as $120,000 cash prize awards for agricultural start-ups.”
He also disclosed that the AfDB is working with other partners to establish a Fund for Agricultural Finance in Africa (FAFINA), to support small and medium-sized agribusinesses.
