Nigeria allocates US$85.6M to agriculture in 2025 budget

NIGERIA – The Nigerian government is allocating US$85.6 million to the National Agricultural Development Fund (NADF) in its 2025 budget, a 30% increase from the US$66 million provided in 2024.

According to project details, approximately US$82.3 million, or 96% of the NADF’s proposed funding, will be directed towards the Renewed Hope Fertilizer Support Program (RH-FSP).

While specifics of the program remain undisclosed, it is intended to enhance access to fertilizers, a resource currently underutilized in Nigeria.

Data from the World Bank shows that Nigeria’s fertilizer application rate stood at 7.3 kilograms per hectare in 2022.

This figure is less than half the average in sub-Saharan Africa, estimated at 18.2 kilograms, and lower than the 50-kilogram target set during the 2006 Abuja Declaration on Fertilizers.

Additionally, the NADF plans to allocate over US$323,000 to a nationwide research initiative aimed at identifying effective strategies for improving agricultural yields.

Despite the increased funding, concerns about accountability and efficient distribution persist.

Agricultural economist Joseph Deborah from the Federal University of Agriculture in Abeokuta cautioned that the success of these initiatives depends on proper fund management.

Speaking to Punch on January 4, he said, “The concept is promising, but the challenge lies in ensuring the funds reach farmers rather than being diverted for personal gain.”

Agriculture remains a critical sector in Nigeria, contributing 22% to the nation’s Gross Domestic Product and employing approximately 38% of the workforce.

The government’s increased financial commitment to agriculture in 2025 aligns with efforts to boost domestic production.

However, stakeholders are urging transparency and effective monitoring to ensure the intended benefits are realized.

The success of the Renewed Hope Fertilizer Support Program and other planned initiatives will be closely watched in the coming months.

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