The Bank of Industry (BoI) has announced plans to allocate 70 per cent of a financing facility secured from the European Investment Bank (EIB) to the development of Nigeria’s cocoa and dairy sectors, a move aimed at boosting agricultural productivity, expanding value addition, and strengthening the country’s non-oil economy.
The development was disclosed by BoI officials during a stakeholders’ engagement on agricultural financing and industrial development. According to the bank, the facility will provide long-term financing to businesses operating across the cocoa and dairy value chains, with the objective of improving local production, increasing processing capacity, and creating employment opportunities.
BoI explained that the investment aligns with the Federal Government’s strategy to diversify the economy through agriculture while reducing dependence on imports and increasing export earnings. The bank noted that the cocoa and dairy industries possess significant growth potential but require greater access to affordable financing and modern production technologies.
Under the initiative, eligible businesses are expected to benefit from funding for processing equipment, storage facilities, mechanised farming, logistics, and other infrastructure needed to enhance productivity and competitiveness.
Officials of the bank said directing the majority of the EIB facility toward the two sectors reflects their strategic importance to Nigeria’s economic development. They added that improving access to finance for agricultural enterprises would encourage private sector investment and strengthen local value chains.
Industry stakeholders welcomed the initiative, describing it as a timely intervention that could help address longstanding challenges facing Nigeria’s agricultural sector. They noted that increased investment in cocoa production could enhance the country’s position in the global export market, while support for dairy development could reduce reliance on imported milk products and improve food security.
Economic analysts also believe the financing programme has the potential to stimulate rural development by creating jobs, increasing farmers’ incomes, and encouraging agro-industrial expansion.
The BoI reaffirmed its commitment to supporting businesses that contribute to sustainable economic growth and industrialisation. The bank expressed confidence that the targeted deployment of the EIB facility would strengthen Nigeria’s agricultural value chains, promote local manufacturing, and enhance the country’s competitiveness in regional and international markets.
