The European Investment Bank Group’s worldwide growth arm, EIB Global, and First City Monument Bank (FCMB) have introduced the financing totalling €85 million to support private-sector corporations throughout agricultural worth chains in Nigeria. At least 70% of the financing will goal cocoa and dairy worth chains.
The announcement was made throughout the Annual Meetings of the International Monetary Fund and the World Bank Group in Bangkok within the presence of EIB Group President Nadia Calviño, Nigerian Minister of Finance and Coordinating Minister of the Economy Taiwo Oyedele, EIB Vice-President Ambroise Fayolle, European Commissioner for International Partnerships Jozef Síkela and FCMB Chief Executive Officer, Yemisi Edun.
The operation is EIB Global’s first funding overlaying the dairy sector outdoors the European Union and is absolutely aligned with Nigeria’s growth goals in sustainable agriculture and inclusion in addition to environmental and social requirements (ESS). The EIB Global financing will tackle market gaps within the dairy sector, enabling the expansion of EU companies in Nigeria requiring a rise in milk provide.
With Nigeria being one of many world’s largest exporters of cocoa, the investments offered by EIB Global by way of FCMB will strengthen the commercial processing capacities alongside the entire worth chain, present liquidity support to cocoa cooperatives and farmers and enhance the traceability of merchandise. Compliance with the EU Regulation on Deforestation (EUDR) will likely be ensured, fostering biodiversity conservation and decreasing environmental externalities whereas supporting inclusive rural growth in line with EU requirements, the EIB Group’s Climate Roadmap and the European Green Deal.
Alongside the credit score line, EIB Global is offering technical help to support FCMB’s local weather motion technique and the Nigerian agriculture sector’s capability to handle environmental and social dangers.
“The EIB Group invests in agricultural value chains in Africa – main drivers of food security and economic growth,” mentioned EIB Group President Nadia Calviño. “These projects also open business opportunities for EU companies in Nigeria, building a truly a win-win partnership.”
“With this financial partnership with First City Monument Bank, EIB Global concretely supports Nigerian agribusinesses to grow competitively while meeting international environmental and social standards,” mentioned EIB Vice-President Ambroise Fayolle. “Such investment is important for the country in terms of employment, health and the economy, with real impact on the local population. It is a concrete example of the EU Global Gateway initiative in which the EIB Group, as the EU bank, is a key actor and partner in Africa.”
“Nigeria has enormous potential in agriculture,” mentioned European Commissioner for International Partnerships Jozef Sikela. “To turn that potential into more jobs, stronger businesses and new economic opportunities, we need to ensure that more value is created and retained in Nigeria. This Global Gateway investment with EIB Global and First City Monument Bank will help businesses across the cocoa and dairy value chains access the finance they need to grow and expand local processing. That is how we build stronger value chains and deepen the EU-Nigeria partnership for the benefit of both sides.”
“For farmers and agribusinesses, access to finance can make the difference between selling raw produce and building businesses that process more, earn more and create more jobs,” mentioned FCMB Chief Executive Officer Yemisi Edun. “Through our partnership with EIB Global, businesses across Nigeria’s cocoa and dairy value chains will have access to the long-term funding needed to increase production, expand processing capacity and reach new markets. By combining financing with technical support, we aim to strengthen rural livelihoods, promote sustainable growth and help build a more resilient agricultural sector.”
The mission aligns with the EU’s geopolitical priorities and Nigeria’s growth plans by supporting sustainable meals methods and strategic meals autonomy. The funding additionally contributes to the Team Europe Initiative (TEI) on Green Economy, which promotes climate-smart agriculture, inclusive agribusiness, rural entry and entry to agricultural markets.
Overall in Nigeria, the EIB Group has invested €2.3 billion for the reason that begin of its actions within the nation in 1978. The financing has supported impactful and transformative investments in essential areas for Nigeria corresponding to sustainable city transport, local weather adaptation, innovation and digitalisation, and agribusiness logistics in addition to small and medium enterprises (SMEs) and mid-caps.
About EIB Global
The European Investment Bank (ElB) is the long-term lending establishment of the European Union, owned by its Member States. It funds investments that contribute to EU coverage goals.
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EIB Global is the EIB Group’s specialised arm devoted to rising the influence of worldwide partnerships and growth finance, and a key accomplice of Global Gateway. We purpose to support €100 billion of funding by the top of 2027. Within Team Europe, EIB Global fosters sturdy, targeted partnerships alongside fellow growth finance establishments and civil society. EIB Global brings the EIB Group nearer to folks, corporations and establishments by way of our places of work internationally. High-quality, up-to-date pictures of our headquarters for media use can be found right here.
About FCMB
FCMB offers private, enterprise, and company banking providers throughout Nigeria. Its monetary options empower people and companies to pursue their objectives with confidence. In this fashion, FCMB brings “My Bank & I” to life whereas fostering inclusive and sustainable progress within the communities it serves.
About Global Gateway
Global Gateway is the EU’s optimistic provide to cut back the worldwide funding disparity and enhance sensible, clear, and safe connections in digital, power and transport sectors, and to strengthen well being, schooling, and analysis methods. The Global Gateway technique embodies a Team Europe method that brings collectively the European Union, EU Member States, and European growth finance establishments. Together, we purpose to mobilise up to €300 billion in public and private investments from 2021 to 2027, creating important hyperlinks fairly than dependencies, and shutting the worldwide funding hole.
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