The Federal Government has secured a renewed funding commitment from the African Development Bank (AfDB) to launch Phase Two of the Special Agro-Industrial Processing Zones (SAPZ) initiative, aimed at transforming Nigeria’s agricultural landscape.
Vice President Kashim Shettima made the disclosure via his official X handle on Monday, following a bilateral meeting with AfDB President Dr. Sidi Ould Tah in New York last Friday. The meeting took place on the sidelines of the 80th United Nations General Assembly.
According to Shettima, the second phase of the SAPZ programme will extend operations to 24 additional states, scaling up from the initial eight states and the Federal Capital Territory (FCT) covered in the first phase. The expansion is expected to promote climate-resilient infrastructure, enhance agro-industrial development, and stimulate inclusive economic growth across Nigeria’s rural landscape.
“We’re committed to diversifying Nigeria’s mono-product economy,” the Vice President said. “This initiative will help drive value-added agricultural exports and unlock opportunities for millions of farmers and agro-processors.”
During the bilateral session, Shettima urged the AfDB to increase its financial support, recalling the $300 million facility granted during the first phase.
“We want to thank you, but like Oliver Twist, we are asking for more,” he said.
“Nigeria remains your largest shareholder, with a portfolio of over $10 billion. We are poised to build an agricultural economy with global reach.”
About SAPZ: A Game-Changer in Nigerian Agriculture
Launched in 2022, the SAPZ is a flagship programme of the AfDB, implemented in partnership with the Federal Government, participating state governments, and development partners.
The first phase of the project covered:
- Federal Capital Territory (FCT)
- Cross River
- Imo
- Kaduna
- Kano
- Kwara
- Ogun
- Oyo
Funded by an initial $300 million facility, Phase One led to the development of agro-industrial hubs designed to: attract private sector investment, reduce post-harvest losses, improve market access for smallholder farmers, strengthen value chains in key agricultural commodities and create jobs, especially for youths and women
What Phase 2 Aims to Achieve
With its expansion to 24 new states, the second phase is expected to:
- Accelerate rural economic development
- Expand infrastructure for agro-processing
- Enhance export diversification
- Improve food security
- Position Nigeria as a key player in regional and global food supply chains
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