NEW YORK — The Federal Government of Nigeria has secured enhanced funding support from the African Development Bank (AfDB) to operationalise the second phase of the Special Agro-Industrial Processing Zones (SAPZ) initiative.
Vice President Kashim Shettima disclosed this via his official X handle on Monday, following a bilateral meeting with AfDB President, Dr. Sidi Tah, held on the sidelines of the 80th Session of the United Nations General Assembly in New York last Friday.
Shettima revealed that Phase 2 of the SAPZ programme will cover 24 additional states, expanding beyond the Federal Capital Territory and seven states included in the first phase. The project aims to deliver climate-resilient infrastructure, drive inclusive agro-industrial growth, and boost value-added agricultural exports.
“We urge you to further support us in the Phase 2 Special Agro-Industrial Processing Zones (SAPZ). You assisted us with $300 million when you were in Liberia. We are asking for more because we are determined to diversify our mono-product economy into agriculture, especially value-added agricultural export,” Shettima told AfDB’s president.
AfDB’s Role in Nigeria’s Agricultural Transformation
Launched in 2022, the SAPZ initiative is a flagship programme of the AfDB in partnership with the Federal Government, state governments, and other development partners.
The first phase, backed by a $300 million AfDB facility, was implemented in the FCT, Cross River, Imo, Kaduna, Kano, Kwara, Ogun, and Oyo States. It created agro-industrial hubs designed to:
- Attract private sector investment in agro-processing,
- Reduce post-harvest losses,
- Improve market access for smallholder farmers,
- Strengthen value chains in key commodities,
- Enhance food security, and
- Generate jobs, particularly for youths and women.
Phase 2: Expanding Opportunities Nationwide
With Phase 2 now set to expand into 24 additional states, the programme is expected to significantly deepen agricultural transformation in Nigeria.
The project will not only enhance food production and processing capacity but also position Nigeria as a major player in regional and global food supply chains, thereby reducing dependence on crude oil and diversifying the economy.
Shettima emphasized that Nigeria remains the AfDB’s largest shareholder with a portfolio exceeding $10 billion, which strengthens its case for greater support in scaling up the initiative.
