BOA reports progress on N450bn agricultural financing initiatives

FROM getting hybrid seeds and improved fertiliser into farmers’ hands to helping them find markets for their harvests, the Bank of Agriculture (BOA) is advancing two major financing programmes designed to support farmers at different stages of agricultural production.

Together, the N250 billion Renewed Hope Smallholder Support and Value Chain Fund and the N200 billion Guaranteed Minimum Price Programme represent more than ₦450 billion in agricultural financing aimed at increasing production and improving market access for Nigerian farmers.

The interventions come as Nigeria records a moderation in food inflation. According to the National Bureau of Statistics (NBS), food inflation fell from 20.31 percent in July 2026 to 19.57 percent in August. The month-on-month rate also slowed from 5.56 percent to 1.02 per cent, indicating that food prices continued to rise on average, but at a considerably slower pace. Despite this improvement, food affordability remains a concern for households across the country.

BOA’s programmes are designed to address some of the production and market-access challenges that affect our food supply.

Through the Renewed Hope programme, BOA has financed over 500,000 smallholder farmers across 16 states, including more than 70,000 women.

The programme has supplied 2.5 million bags of fertiliser and 300,000 bags of certified seeds, with the next phase targeting over three million bags of fertiliser and 509,000 seeds through Farmer Aggregation Companies and other value-chain partners.

Access to these inputs can help farmers cultivate their land and improve production, supporting the availability of food crops for Nigerian markets. The programme also aims to strengthen rural livelihoods by helping farmers overcome some of the financial barriers to farming.

Production, however, is only one side of the challenge. Farmers also need dependable buyers, particularly at harvest, when an oversupply of produce in local markets or weak purchasing arrangements can reduce farm-gate prices and leave growers struggling to recover their costs.

BOA’s N200 billion Guaranteed Minimum Price Programme is designed to strengthen this part of the agricultural value chain by supporting structured purchases of key commodities and connecting farmers with aggregators, processors and other buyers.

The bank has mobilised N20 billion under the facility, with approximately 130,000 metric tonnes of maize, rice, sorghum and cassava procured directly through the programme.

These market linkages are particularly important for Nigerian smallholder farmers, whose earnings influence their ability to meet household needs and invest in the next planting season.

The Bank’s work extends beyond these programmes. Through its mechanisation financing initiative, BOA has deployed over 1,500 tractors across 23 states.

The facility serves state governments that lease tractors to smallholder farmers on a lease-to-own basis, as well as agricultural service providers and youth- and women-led businesses.

With the approval of N1.5 trillion in recapitalisation funding by President Bola Ahmed Tinubu, BOA is strengthening its capacity to deliver agricultural financing at scale and extend support to more farmers and agribusinesses across the country.

As these programmes progress, the Bank’s focus remains on making agricultural finance more accessible, helping farmers increase production and improving the market opportunities available to them.