President Bola Ahmed Tinubu has approved the recapitalisation of the Bank of Agriculture (BOA) with N1.5 trillion, in what the federal government has described as the biggest single investment in agricultural financing in Nigeria’s history.
The announcement was made in a statement released on Wednesday by the Federal Ministry of Agriculture and Food Security. The ministry said the move will reposition BOA as a modern development finance institution focused on supporting youth and women-led agribusinesses across the country.
According to the Minister of Agriculture and Food Security, Senator Abubakar Kyari, the new funds will be used to give easier access to credit, business training, and modern farming inputs to entrepreneurs in the agricultural sector.
Senator Kyari explained that the recapitalisation aligns with the ongoing implementation of the National Agricultural Technology and Innovation Policy (NATIP), which is designed to transform the country’s agricultural sector into a competitive, tech-driven, and youth-focused ecosystem.
He said, “The NATIP provides the strategic policy backbone for transforming agriculture into a tech-enabled, youth-driven sector. It promotes mechanisation, digital agriculture, and research-commercialisation linkages.”
Kyari added that the recapitalised BOA will help deliver targeted support to innovative agribusinesses and improve agricultural productivity nationwide. He noted that the government has already reached about 250,000 farmers across several states, describing this as an early sign of progress backed by political will.
The minister further disclosed that the government has established the National Agribusiness Policy Mechanism, launched in May 2025, which is being coordinated under the Presidential Food Systems Coordination Unit. This mechanism, he said, is central to the delivery of President Tinubu’s Renewed Hope Agenda for food security and job creation.
“To translate these bold institutional reforms into real impact, we must now set clear delivery expectations,” he said. “That means establishing annual lending targets for youth and women-led agribusinesses. It also means designing risk guarantees to increase access, not inflate fees, and financing cash flows instead of just collateral.”
Kyari said the Tinubu administration is determined to support not only access to credit but also the capacity of young farmers and agri-entrepreneurs to manage and grow their businesses successfully.
He also pointed out that the National Agricultural Development Fund (NADF) is currently building partnerships to finance climate-smart agriculture, storage hubs, aggregation centers, and rural transport systems that will enable value addition and improve Nigeria’s food competitiveness.
According to him, food sovereignty is now a national priority under Tinubu’s administration. “This agenda affirms the right to feed ourselves with what we grow, process, and add value to. Food sovereignty means reducing import dependence and investing in the strength of Nigerian farmers, processors, and agribusinesses.”
He stressed that job creation and food security are not separate goals but are interlinked levers for national development and economic diversification.
“Nigeria’s task now is to unlock the full productive power of our youth and women in agriculture and build a food system that is resilient, inclusive, and competitive,” Kyari said.
