Bank, AATIF Announce $25m Funding Line To Expand Agribusiness
In line with the Federal Government’s efforts to reduce food importation and enhance food sustainability, the Union Bank of Nigeria and Africa Agriculture and Trade Investment Fund (AATIF) have announced that the Bank has secured a $25 million funding line from AATIF to expand its agricultural business goals.
According to a statement, the funding from AATIF would support Union Bank’s expansion and outreach to Nigerian agri-businesses, with technical support to improve efficiency and accelerate impact within the sector.
As part of the agreement fund, innovative agricultural products are expected to be developed and deployed, and agricultural businesses will receive more funding.
This would contribute to the development of a competitive food and agricultural sector in Nigeria, aligned with national priorities, such as food security, increased agricultural production, and local food processing, according to the statement.
“In response to the Nigerian government’s effort to reduce food imports and ultimately create a sustainable market for local farmers to sell their farm produce, Union Bank has anchored its food and agri-finance strategy around the promotion of local food processing. Union bank targets key value chains in rice, poultry, dairy, cassava, maize, and soybean, among others, and aims to provide tailor-made funding and technical support to the different actors along each of the selected value chains. This funding will deliver the required financing and technical support to producers, processors, and entrepreneurs within the ecosystem. The statement reads. Meanwhile, Mudassir Amray, Chief Executive Officer/ Managing Director of Union Bank, said that the partnership with AATIF will enable an extension of support to the sector at a critical time for the economy where local production and food security are fundamental priorities for the country.This funding will deliver the required financing and technical support to producers, processors, and entrepreneurs within the ecosystem.” The statement reads.
Also speaking, Doris Köhn, Chair, AATIF Board of Directors, noted that Union Bank is a historic institution in Nigeria, “and we welcome them as a new AATIF Partner Institution.”
Agro Nigeria
