EIB Global and FCMB have allocated 85 million euros for Nigeria's agro-industrial sector

The international development arm of the European Investment Bank (EIB Global) and First City Monument Bank (FCMB) have announced EUR 85 million in financing. The funds will support private companies operating within agricultural value chains in Nigeria. At least 70 percent of the total financing will be directed toward the development of the cocoa and dairy sectors.

The announcement took place at the Annual Meetings of the International Monetary Fund and the World Bank Group in Bangkok. The event was attended by EIB Group President Nadia Calviño, Nigeria’s Minister of Finance and Coordinating Minister of the Economy Wale Edun, EIB Vice-President Ambroise Fayolle, European Commissioner for International Partnerships Jutta Urpilainen, and FCMB Chief Executive Officer Yemisi Edun.

It is reported that this is the first investment by EIB Global covering the dairy sector outside the European Union. The financing fully aligns with Nigeria's development goals in sustainable agriculture, inclusiveness, as well as environmental and social standards. The investment is designed to address gaps in the dairy market, support the growth of EU businesses in need of increased milk supplies, strengthen industrial capacity throughout the cocoa value chain, provide liquidity to cooperatives and farmers, and improve product traceability.

Additionally, the project will ensure compliance with the EU Deforestation Regulation, help preserve biodiversity, and reduce environmental externalities. In addition to the credit line, EIB Global will provide technical assistance to support FCMB's climate action strategy and enhance the capacity of Nigeria's agricultural sector in managing environmental and social risks.

In total, since the beginning of its operations in the country in 1978, the EIB Group has invested EUR 2.3 billion in Nigeria, supporting initiatives in sustainable urban transport, climate change adaptation, innovation, digitalization, agribusiness logistics, and small and medium-sized enterprises.