Renewed Hope agricultural financing programme targets five million farmers with single-digit loans and subsidised inputs.
The Federal Government has launched the Renewed Hope Smallholder Agricultural Financing Programme, an initiative aimed at increasing Nigeria’s annual grain production from 11 million tonnes to 25 million tonnes.
The programme, implemented by the Bank of Agriculture (BOA), is designed to provide smallholder farmers with affordable access to subsidised fertilisers, certified hybrid seeds, and other essential agricultural inputs.
Speaking at the unveiling of the Renewed Hope Smallholder Support and Value Chain Fund in Zaria, the Managing Director of BOA, Ayodele Sotinrin, said the initiative would improve crop yields, strengthen food security, and reduce food inflation.
Sotinrin explained that beneficiaries would access the inputs through BOA’s single-digit lending facility at an interest rate of nine per cent, stressing that the intervention consists of loans rather than grants to ensure sustainability.
According to him, 20 farm aggregators were selected from over 1,240 applicants for the pilot phase, which is expected to benefit about 500,000 farmers this farming season. The programme is projected to expand to two million farmers next year and five million nationwide in subsequent phases.
He noted that if five million farmers cultivate one hectare each and achieve a yield of five tonnes per hectare, Nigeria could produce about 25 million tonnes of food annually.
“That would be sufficient to meet domestic demand, reduce dependence on food imports, and create opportunities for agricultural exports,” Sotinrin said.
Minister of Agriculture and Food Security, Senator Abubakar Kyari, said the Tinubu administration remains committed to tackling food inflation through increased local production rather than imports.
Kyari disclosed that about two million bags of agricultural inputs would be distributed through registered farm aggregators, who will also provide extension services and implement a Guaranteed Minimum Price mechanism to protect farmers from exploitation.
He observed that although nearly 90 per cent of Nigerian farmers cultivate less than one hectare of land, they account for about 85 per cent of the country’s food production.
The Group Managing Director of Arzikin Noma Africa, Adeoluwa Adeshola, emphasised the need for sustained private-sector participation and prompt loan repayment by beneficiaries to ensure the long-term success of the programme.
He expressed optimism that the initiative would improve rural livelihoods, lower food prices, and position Nigeria as a leading agricultural producer and exporter in Africa.