EIB Global, FCMB Announce €85m Financing for Nigeria’s Cocoa, Dairy Value Chains

The European Investment Bank Group’s international development arm, EIB Global, and First City Monument Bank (FCMB) have announced €85 million in financing to support private-sector businesses across Nigeria’s agricultural value chains, with at least 70 per cent of the funding earmarked for cocoa and dairy.

The announcement was made during the Annual Meetings of the International Monetary Fund and the World Bank Group in Bangkok, Thailand, in the presence of EIB Group President Nadia Calviño, Nigeria’s 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.

According to the institutions, the financing will help agricultural businesses increase production, expand local processing capacity, improve access to long-term funding and strengthen their competitiveness in domestic and international markets.

The operation also marks EIB Global’s first investment covering the dairy sector outside the European Union.

In the dairy value chain, the financing is expected to address gaps in access to capital, support the expansion of local production and improve milk supply. The initiative is also intended to strengthen commercial opportunities for European businesses operating in Nigeria.

For the cocoa sector, the funding will support industrial processing across the value chain, provide liquidity to cocoa cooperatives and farmers, and improve product traceability. The initiative will also promote compliance with the European Union Deforestation Regulation (EUDR), while encouraging biodiversity conservation and more sustainable agricultural practices.

The institutions said the investment aligns with Nigeria’s development priorities in sustainable agriculture, rural development and economic inclusion, as well as applicable environmental and social standards.

Alongside the credit facility, EIB Global will provide technical assistance to strengthen FCMB’s climate action strategy and improve the capacity of Nigeria’s agricultural sector to manage environmental and social risks.

Speaking on the partnership, EIB Group President Nadia Calviño said agricultural value chains remain important drivers of food security and economic growth across Africa, adding that the projects would also create business opportunities for European companies in Nigeria.

EIB Vice-President Ambroise Fayolle said the partnership would help Nigerian agribusinesses grow competitively while meeting international environmental and social standards. He described the investment as an example of the European Union’s Global Gateway initiative and its efforts to deepen economic partnerships in Africa.

European Commissioner for International Partnerships Jozef Síkela said Nigeria had enormous agricultural potential, stressing the need to ensure that more value was created and retained locally through stronger businesses, increased processing and job creation.

FCMB Chief Executive Officer Yemisi Edun said access to finance could help farmers and agribusinesses move beyond selling raw produce to building businesses that process more products, earn higher revenues and create employment.

She added that the partnership would provide businesses across the cocoa and dairy value chains with long-term funding to expand production, processing capacity and market access, while technical support would promote sustainable growth and strengthen rural livelihoods.

The project also supports the EU’s Global Gateway strategy and the Team Europe Initiative on Green Economy, which promotes climate-smart agriculture, inclusive agribusiness and improved access to rural markets.

EIB Global’s activities in Nigeria form part of the EIB Group’s broader investment programme in the country. The institution said it had invested €2.3 billion in Nigeria since beginning operations there in 1978, supporting sectors including sustainable urban transport, climate adaptation, innovation, digitalisation, agribusiness logistics and financing for small and medium-sized enterprises.

The latest financing is expected to strengthen agricultural value chains, improve local processing and expand access to funding for Nigerian agribusinesses, particularly those operating in the cocoa and dairy sectors.