Food Security: Federal Government Assistance Alone Won’t Meet Nigeria’s Agricultural Needs

The Federal Government has stated that transforming Nigeria’s agricultural sector will require far more capital than it can supply on its own.

The government stressed the importance of attracting private sector investment into agriculture, proposing a blended‑finance framework to reduce the risks that often deter agribusiness investors.

Speaking to the News Agency of Nigeria (NAN) on Tuesday, Mohammed A. Ibrahim, Executive Secretary of the National Agricultural Development Fund, said, “Agriculture is fundamental to Nigeria’s food security, job creation, industrial development, export capabilities, and overall prosperity.”

“Relying solely on public capital will not suffice to finance the transformation of Nigeria’s agricultural sector. Similarly, private capital will not be mobilised at the necessary scale unless the associated risks are comprehensively understood, appropriately allocated, and effectively managed,” Ibrahim added.

He noted that discussions with stakeholders in 2025 revealed that, although substantial pools of capital exist within the financial system—including development finance and concessional funding—the actual investment in agribusiness remains limited due to challenges in risk assessment, investment structuring, and alignment with agricultural value chains.

Ibrahim stated that the government’s long‑term goal is to establish a structured marketplace where capital providers, agribusiness operators, technical experts, and risk‑sharing institutions can collaborate more efficiently.