KEY POINTS
- Lagos farmers hail proposed $500m World Bank loan to boost agriculture.
- Stakeholders stress transparency and proper targeting in disbursement.
- Concerns persist over past implementation gaps in intervention funds.
MAIN STORY
Farmers and agricultural stakeholders in Lagos State have expressed optimism over the proposed $500 million loan by the World Bank to support Nigeria’s agricultural sector, while urging authorities to ensure transparent and effective implementation.
The loan, expected to be approved in March 2026, will be financed through the International Development Association (IDA), the concessional lending arm of the World Bank that provides low-interest funding to developing countries.
According to reports, the project will be implemented by the Federal Ministry of Agriculture and Food Security in collaboration with participating states, with the goal of increasing food production, strengthening agricultural value chains, and creating employment opportunities nationwide.
Reacting to the development, Acting Chairman of the All Farmers Association of Nigeria (AFAN), Lagos Chapter, Mr Shakin Agbayewa, described the loan as timely given rising inflation and high borrowing costs in Nigeria.
He said the facility could significantly improve agricultural production across the value chain from inputs and logistics to processing and value addition if properly executed.
THE ISSUES
Stakeholders remain concerned about transparency, accountability, and equitable distribution of past agricultural intervention funds, which they say often failed to reach grassroots farmers.
WHAT’S BEING SAID
Agbayewa urged authorities to channel disbursement through AFAN’s nationwide structure to ensure funds reach genuine farmers and effectively address food insecurity.
Similarly, agricultural analyst and farmer, Mr Omotunde Banjoko, stressed the need for clarity on how the loan would be allocated, noting that previous interventions often lacked transparency and were concentrated in specific regions or subsectors.
He said stakeholders were particularly interested in knowing the targeted beneficiaries and implementation framework before assessing the loan’s potential impact.
WHAT’S NEXT
The World Bank is expected to finalise approval of the loan in March 2026, after which implementation details, including disbursement mechanisms and beneficiary criteria, will likely be released.
BOTTOM LINE
While farmers view the proposed $500 million facility as a major boost for Nigeria’s agricultural sector, its success will depend largely on transparent implementation and direct access for genuine farmers.
