FG Signs Financing Pact For $158m Value Chain Programme In Northern Nigeria

FG Signs Financing Pact For $158m Value Chain Programme In Northern Nigeria

*We’re fulfilling President Tinubu’s promise to reduce poverty, restore farmers’ dignity, ensure food security – VP Shettima

By: Our Reporter

As part of ongoing efforts to revolutionalize the nation’s agriculture sector, the Federal Government on Wednesday signed a financing agreement for the Value Chain Programme in Northern Nigeria (VCN).

With the signing of the agreement, the implementation of the $158.15 million VCN project begins immediately to support agriculture value chain development and value addition for farmers in nine states of the northern part of the country.

The initiative is co-funded by the International Fund for Agricultural Development (IFAD), the French Development Agency (AFD), and the Government of Nigeria.

The eight-year initiative, validated on March 21, 2024, was conceived following Vice President Kashim Shettima’s request during UNFSS stocktaking in Rome on July 24, 2023, that IFAD should scale-up its portfolio in Nigeria and mobilise additional partners and donors to support the agri-food transformation and food security of the Renewed Hope Agenda.

It is expected to sustainably reduce poverty, enhance nutrition and better resilience of rural and most vulnerable populations in the nine northern states, which include Borno, Bauchi, Kano, Katsina, Kebbi, Jigawa, Sokoko, Yobe and Zamfara.

Speaking during the signing ceremony of the financing agreement for the VCN project at the Presidential Villa, Abuja, Vice President Shettima described the initiative as a product of critical thinking about the economic reality of the northern region.

According to him, it is a fulfilment of the promise made by the administration of President Bola Ahmed Tinubu to reduce poverty in Nigeria, restore dignity to the nation’s farmers, and ensure food security.

“It is a declaration of faith in the North—not as a region of deficits, but as a place of abundance. It also invites us to play our part in fulfilling the promise to reduce poverty, nourish our people, and restore dignity to farming families across Bauchi, Borno, Jigawa, Katsina, Kebbi, Sokoto, Kano, Yobe, and Zamfara.

“What has brought us together today is an investment of $158.15 million, co-financed by the International Fund for Agricultural Development (IFAD), the Agence Française de Développement (AFD), the Federal Government of Nigeria, and other stakeholders. This reflects President Bola Ahmed Tinubu’s commitment to prioritising what matters most—people, productivity, and prosperity,” VP Shettima declared.

Recalling that the administration recently commenced foundation laying for the construction of Special Agro-Industrial Processing Zones (SAPZs) across Nigeria, the VP said said the VCN programme will feed into the SAPZs, serving as “a steady pipeline of raw materials and ensuring our processors no longer grope for quality inputs.

“This synergy will shift us from exporting raw produce to exporting value-added goods—creating jobs, wealth, and industrial stability,” he added.

Senator Shettima observed that “the recent global trade disruptions and the resurgence of protectionism are loud warnings” to Nigeria to begin to grow what its people eat and produce what they trade.

His words: “The agricultural tariffs and retaliatory postures of global powers like the U.S. and China have rattled commodity chains. For a nation that has long relied on food imports, the message is clear: we must grow what we eat and produce what we trade.

“The VCN answers this call. By making wheat, maize, and animal feed viable for commercial cultivation, and by investing in irrigation, processing, and storage facilities in states like Kebbi and Jigawa, we are not just securing food—we are laying the groundwork for agricultural exports that can rival our oil.

“What makes this programme exceptional is that it targets the underserved: women, youth, persons with disabilities, and returnees. It recognises that peace and prosperity are twin goals—and that in communities scarred by conflict, agriculture is not just a livelihood; it is rehabilitation.”

Noting that the federal government will deploy digital tools to track every step, “from farmer registration to market access, from input distribution to yield analysis”, the VP assured that “in regions where migration and insecurity are fuelled by joblessness, the VCN provides vehicles for enterprise, income, and dignity.”

Earlier, former Senate President, Senator Ahmed Lawan who spoke on behalf of the National Assembly, commended IFAD, the federal government and other partners for the conception of the programme, describing it as a well-thought-out initiative that will transform the lives and livelihoods of many in the target states and beyond.

He pledged the commitment and support of the National Assembly in the implementation of the various interventions contained in the programme.

On his part, the Minister of Agriculture and Food Security, Sen. Abubakar Kyari said the signing of the financing agreement represents a significant milestone in the efforts to transform the agricultural landscape in Nigeria under the Renewed Hope Agenda of the Tinubu administration

He noted that the participation of the nine states and the presence of other critical stakeholders underscore the commitment of the sub-nationals and the federal government in fostering inclusivity in agricultural development and economic empowerment.

The Minister expressed confidence that the VCN will deliver programmes and projects that will improve agricultural productivity and the overall well-being of small-holder farmers, farmer groups, and women across the region.

In separate remarks, the Governors of Borno, Prof. Babagana Zulum; Jigawa, Alhaji Umar Namadi, and Katsina, Alhaji Dikko Radda, applauded the leadership provided by President Tinubu and Vice President Shettima, in the implementation of the VCN programme and other schemes across northern Nigeria.

They pledged their commitment and support in the actualisation of the objectives of the various components of the programme and urged the implementors to review the design and timeline for implementation to enable states to maximize the benefits therein.

In her remarks, the Country Director of IFAD, Mrs Dede Ekoue, said the programme is a 158.15 million dollars project designed to transform agribusiness in nine northern states of Borno, Yobe, Jigawa, Bauchi, Kano, Katsina, Kebbi, Sokoto and Zamfara, over a period of 8 years, targeting about 3.1 million household members.

She said interventions targeted under the programme will focus on climate smart agriculture, leveraging innovative technologies; improving post-harvest handling and value chain addition; increase access to business development services for youths and women agri-preneurs; boost access to financial services and scale up access to digital solutions for productivity, among others.

The IFAD Country Director added that expected results from the interventions include, the creation of over 30,000 jobs and entrepreneurial opportunities for youths, women and vulnerable groups and the construction of over 229km of roads across the region to enhance access to market, among others.

She applauded the commitment and vision of the President and Vice President, and emphasized the need for all stakeholders in the project to work in unison for the actualisation of set objectives and in the overall interest of the national economy.

The high point of the occasion was the signing of the agreement for the Joint Roadmap for Accelerated Start-up between the federal government and IFAD.

Also present at the meeting were some members of the National Assembly; Minister of State for Regional Development, Hon. Uba Maigari Ahmadu; the Regional Director of IFAD, Mr Bernard Mwinyel Hien; the deputy governors of Zamfara, Kebbi, Sokoto, Kano, Yobe and Bauchi States; heads of government agencies and representatives of development partners, among others.

FG Signs Financing Pact For $158m Value Chain Programme In Northern Nigeria
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