N3.4 trillion agric credit scheme accessed by farmers in 2025 — FG

Seeks deal to unlock agric potential amid climate snag

From Okwe Obi, Abuja

The federal government has disclosed that farmers accessed credit schemes amounting to N3.4 trillion in 2025 to boost food production.

The Minister of Agriculture and Food Security, Abubakar Kyari, who did not disclose the number of farmers, said the scheme was less than 4% of the contribution of agriculture to the country’s GDP.

Kyari, who spoke recently during the Nigeria–United Kingdom Investment Forum in London, said access to finance is a major constraint for farmers across Nigeria and has limited productivity across the sector.

In a statement issued by the Head, Department of Information, Ezeaja Ikemefuna, he said, “Despite the prevalence of credit schemes across the country, total credit accessible by farmers is still significantly limited, reaching 3.4 trillion as at April 2025.

“Whilst this value may look significant, it is less than 4% of the contribution of agriculture to the country’s GDP.”

He called on investors, financial firms and development partners to collaborate with Nigeria in its vision of building a resilient food system, climate-smart farming, expanding sustainable agricultural production and unlocking the potential of Africa’s largest agricultural market.

The minister highlighted Nigeria’s agricultural potential, citing its diverse agro-ecological zones and competitive production capabilities.

He stated that agriculture employs nearly 70% of the country’s labour force, contributes over 24% to GDP, and is a critical driver of inclusive growth, rural livelihoods, and women and youth employment.

He disclosed that Nigeria has the natural conditions to support a broad spectrum of agricultural value chains, including rice, maize, cassava, cocoa, sesame, sorghum, and horticultural crops, noting that commodities consumed globally can be produced competitively within Nigeria’s diverse agricultural landscape.

According to him, the impact of climate change, which poses significant risks to nations worldwide, has in Nigeria manifested as prolonged droughts, erratic rainfall patterns, flooding, and desertification, threatening agricultural productivity and food security and underscoring the urgent need to transition to climate-resilient agriculture.

He added that, to achieve this transition, a significant financing gap remains, as current investment levels fall far short of what is required to build resilient food systems, deploy climate-smart technologies and scale innovation across agricultural value chains.

“While public financing remains essential, unlocking the scale of investment required will depend on stronger participation from private capital and development finance partners,” he said.

Also, he revealed that, to address these challenges, President Bola Ahmed Tinubu declared a national state of emergency on food security in July 2023, shortly after taking office. A year later, Vice President Kashim Shettima inaugurated the Presidential Food Systems Coordinating Unit (PFSCU) to ensure alignment of interventions across all three tiers of government.

He mentioned that the federal government has also initiated several programmes, such as the distribution of solar-powered irrigation pumps to smallholder farmers to promote all-season farming and improve water efficiency.