By Prosper Mene
In a move to bridge the financing gap for women in agriculture, the National Agricultural Development Fund (NADF) has entered into a tripartite Memorandum of Understanding (MoU) with the Sustainable Trade Initiative (IDH) and the Bank of Agriculture (BOA).
The collaboration aims to unlock affordable financing and business support for youth, with a special focus on young women participating in the Women in Sourcing and Enterprise (WISE) program within Nigeria’s vital cassava value chain.
Cassava, a staple crop that supports millions of livelihoods across Nigeria, has long faced challenges in scaling sustainable production and processing due to limited access to capital. This partnership seeks to address those barriers head-on, targeting high interest rates, collateral shortages, and the scarcity of women-tailored financial products. By pooling resources, the trio will provide liquidity, co-financing, and on-lending mechanisms to empower “agrpreneurs” – women-led enterprises that drive innovation from farm to market.
“This MoU is more than a signing; it’s a blueprint for inclusive growth,” said Abdullahi Imam, Head of Debt Investment at NADF, during the agreement ceremony. “Through our combined strengths – IDH’s market convening power, BOA’s lending expertise, and NADF’s liquidity support , we’re creating pathways for young women to thrive in the cassava sector. This model has the potential to scale to other crops like maize, rice, and soyabeans, transforming Nigeria’s agricultural landscape.”
Daan Wensing, CEO of IDH, supported the sentiment, highlighting the initiative’s role in fostering resilient markets. “Youth and women are the backbone of sustainable agribusiness, yet they often lack the tools to participate fully. This partnership will generate meaningful opportunities, from sourcing to enterprise development, while bolstering food security and job creation.”
Ayodeji Sotinrin, Managing Director of BOA, emphasized the bank’s commitment to holistic value chain support. “We’re not just funding farms; we’re investing in the entire ecosystem – from primary production to processing and distribution. This aligns with our mission to make agricultural finance inclusive and impactful.”
The effort is embedded within the Nigerian Food Systems Transformation Alliance, a broader platform uniting stakeholders to enhance local sourcing, promote sustainable livelihoods, and combat food insecurity. Initial funding will prioritize WISE participants, offering low-interest loans, training in financial literacy, and mentorship to build creditworthy businesses. Experts estimate the initiative could mobilize millions in capital, potentially creating thousands of jobs and boosting women’s economic participation in a sector where they already contribute over 70% of the labor force but hold less than 20% of formal financing.
This partnership comes at a critical juncture for Nigeria’s agriculture, which employs nearly 40% of the workforce and accounts for a quarter of GDP. With climate pressures and market volatility on the rise, empowering women agrpreneurs isn’t just equitable – it’s essential for national resilience. As Imam noted, “By closing these gaps, we’re not only uplifting individuals; we’re fortifying the entire food system.”
Stakeholders anticipate the first disbursements by early 2026, with monitoring to ensure transparency and scalability.
