NATIONAL: AfDB approves $25b for agric development in Nigeria, 4 other African countries

PRESIDENT of the African Development Bank Group (AfDB), Dr Akinwunmi Adesina, has said future billionaires and millionaires in Africa will come from the agricultural sector.

Adesina made the prediction based on the size of the food and agricultural market estimated at over $1trillion by 2030.

He disclosed this at a virtual conference to mark the 10th anniversary of Sahel Group, a private equity firm focused on agribusiness.

Adesina also said that the AfDB has approved the investment of $25 billion to develop agriculture in Nigeria and four other African countries.

He identified Senegal, Gabon, Mali, and Sudan as other countries to benefit from the fund.

Specifically, Adesina said that the fund will help Nigeria transform from being a net importer of fertilizer to a fertilizer-exporting nation. He noted that in total, AfDB is granting a facility of $510 million for agricultural development in Nigeria.

“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 capacity of 2.8 million tons per annum,” said Adesina.

He continued, “The bank provided $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.”

The AfDB boss emphasised the importance of the Africa Continental Free Trade Area (AfCFTA) agreement, adding that countries in Africa must use the market effectively by producing more food through agro-industrialisation that supports smallholder farmers and the private sector.