The African Development Bank (AfDB) has announced ongoing discussions for a $1.7 billion economic and budget support loan, in addition to planning the launch of a $1 billion agro-industrial processes initiative in 28 states.
These measures aim to address the challenges posed by rising food prices and inflation, exacerbated by last June’s fuel subsidy removal and exchange rate unification policy.
The President of AfDB, Mr. Akinwumi Adesina, revealed these developments during an interview in Lagos recently.
He emphasised the importance of boosting food production to tackle food inflation, which constitutes a significant portion of Nigeria’s overall inflation rate. Mr. Adesina highlighted the need to reinstate the electronic wallet system for distributing seeds and fertilisers to farmers efficiently.
Mr. Adesina also underscored the importance of low-interest concessionary financing to help Nigeria overcome its economic challenges, particularly in managing exchange rate fluctuations.
These initiatives reflect the AfDB’s commitment to supporting Nigeria during this period of economic hardship, aiming to stimulate agricultural growth and alleviate food shortages while fostering economic resilience and development.
