The Nigeria Sovereign Investment Authority (NSIA), managers of the country’s $1 billion sovereign wealth fund, announced a $10 million agricultural financing to boost investment within the sector and enhance economic diversification.
“Agriculture is a sector of strategic importance to the NSIA and an area we see opportunities for significant growth and profit through the facilitation of the enhancement of Nigeria’s critical agriculture infrastructure,” said Uche Orji, CEO of NSIA.
NSIA is collaborating with the Nigeria’s Ministry of Agriculture and Rural Development and German state-owned development bank KfW as sponsors. Sahel Capital, an indigenous agriculture-focused investment and advisory firm was also selected to manage the fund.
This investment is specifically designed to transform the agriculture finance landscape in Nigeria by providing equity and debt capital to Agric biased small and medium enterprises (SMEs). It is anticipated that there would be value addition to agric products through the establishment of agric processors along the value chain.
It is equally envisaged that the fund will grow from $10 million to $100 million through partnerships private collaborations with private sector investors.
The Agricultural Transformation Agenda ( ATA) of the present administration is gradually paying off.
