The Central Bank of Nigeria (CBN) has moved to strengthen its support for the agricultural sector with the inauguration of a reconstituted Board for the Agricultural Credit Guarantee Scheme Fund, signaling renewed focus on improving farmers’ access to finance across Africa’s most populous nation.
Governor Olayemi Cardoso, who presided over Wednesday’s ceremony, emphasized the need for innovation and inclusivity as the scheme enters a new phase aimed at modernizing Nigeria’s agricultural value chains.
“We must adopt a more innovative, inclusive and technology-driven approach to support farmers, especially women and youth,” Cardoso declared during the inauguration, according to a statement released by the CBN on social media platform X.
The Agricultural Credit Guarantee Scheme Fund, established in 1977, has served as a critical de-risking mechanism for agricultural lending in Nigeria, encouraging commercial banks to extend credit to farmers who might otherwise be deemed too risky. The scheme’s performance metrics underscore its effectiveness—repayment rates have consistently ranged between 90 and 98 percent over the years, demonstrating both the viability of agricultural lending and the reliability of Nigerian farmers when properly supported.
The newly constituted board, chaired by Dr. Olusegun Oshin, brings together expertise from various sectors. Members include Prof. Murtala Sabo Sagagi, Dr. Nneka Onyeali-Ikpe, Engr. Frank Satumari Kudla, Ms. Olusola Sowemimo, Ms. Adetoun Abbi-Olaniyan, and Mr. Wondi Philip Ndanusa.
According to the CBN, the board’s mandate centers on strengthening stakeholder collaboration, improving monitoring mechanisms, and introducing real-time tracking systems designed to enhance both productivity and rural livelihoods. The reconstitution comes at a critical juncture as Nigeria grapples with food security challenges and seeks to reduce its dependence on food imports.
Deputy governors of the apex bank, departmental directors, and other senior officials attended the inauguration ceremony in what observers see as a demonstration of the institution’s commitment to the initiative.
The ACGSF board reconstitution aligns with broader government efforts to revitalize Nigeria’s agricultural sector. Just days earlier, President Bola Tinubu announced the composition of boards for two other key agricultural institutions—the Bank of Agriculture and the National Agricultural Development Fund.
Muhammad Babangida was appointed Chairman of the Bank of Agriculture, with Ayo Sotinrin taking the position of Managing Director. The BOA’s executive directors include Fatima Garba representing Sokoto, Ka’amuna Ibrahim Khadi from Borno, and Hakeem Oluwatosin Salami from Kwara. Non-executive directors span Nigeria’s geopolitical zones: Aminu Malami Mohammed (North East), Charles Amuchienwa (South East), Oladejo Odunuga (South West), Rabiu Idris Funtua (North West), and Kochi Donald Iorgyer (North Central).
For the National Agricultural Development Fund, President Tinubu named Muhammad Abu Ibrahim as Executive Secretary and Chief Executive Officer, with Mallam Bello Maccido serving as Chairman. The board includes Dr. Nelson Henry Essien, Amina Ahmed Habib, Akinyinka Olufela Akinnola, Hassan Tanimu Musa Usman, Lufer Samson Orkar, and Felix Achibiri.
Bayo Onanuga, the President’s Special Adviser on Information and Strategy, confirmed the appointments in an official statement, describing them as part of efforts to reposition the agricultural sector for higher output and sustainability.
Agriculture remains a cornerstone of Nigeria’s economy, employing approximately 70 percent of the country’s labor force and contributing significantly to gross domestic product. However, the sector has long been plagued by challenges including limited access to finance, poor infrastructure, climate change impacts, and insecurity in farming communities.
The coordinated appointment of new boards across multiple agricultural institutions suggests a comprehensive strategy to address these systemic challenges. Analysts say the success of these initiatives will depend on effective implementation, adequate funding, and the ability to insulate agricultural policies from political interference.
As Nigeria continues its push toward food self-sufficiency and agricultural exports, all eyes will be on these newly constituted boards to deliver measurable improvements in credit access, productivity, and ultimately, the livelihoods of millions of smallholder farmers across the country.
WHAT YOU SHOULD KNOW
The Central Bank of Nigeria has inaugurated a new Agricultural Credit Guarantee Scheme Fund (ACGSF) Board under Dr. Olusegun Oshin to improve farmers’ access to finance through technology and innovation. With an impressive 90-98% loan repayment rate since 1977, the scheme has proven effective in de-risking agricultural lending.
This move, alongside President Tinubu’s recent appointments to the Bank of Agriculture and National Agricultural Development Fund boards, signals a coordinated government push to modernize Nigeria’s agricultural sector, enhance food security, and support smallholder farmers—particularly women and youth—who form the backbone of the country’s economy.
