Minister of Agriculture and Rural Development, Dr. Akinwumi Adesina
Fovourable policies by the federal government have attracted private-sector investment to the tune of N800 billion to Nigeria’s budding agricultural sector since 2012, THISDAY findings have revealed.
The Investments, investigations revealed, were mostly in areas such as rice, sugar and palm oil segments.
However, private-sector credit to agriculture has dipped below 2 per cent of the total despite that the sector contributes about 20 per cent of gross domestic products (GDP).
Analysts at FBN Capital have expressed the belief that federal government’s effort has helped to restore investors’ confidence in the sector.
Highlighting funding developments in the agriculture sector, the analysts stated that agricultural sector has been the beneficiary of the FGN’s successful reforms.
According to the analysts, “Funding vehicles driven by the Central Bank of Nigeria (CBN) like the Agricultural Credit Guarantee Scheme Fund (ACGSF) and the Commercial Agriculture Credit Scheme (CACS) have addressed the limited risk appetite of the deposit money banks (DMBs). There have been benefits in terms of private-sector participation, employment and food security, with an emphasis on the agric value chain.
Source: ThisDay
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