ABUJA, Nigeria (VOICE OF NAIJA)-The Federal Government has stepped up talks with the Japan International Cooperation Agency (JICA) to accelerate the rollout of a ¥15 billion (approximately $110 million) emergency loan aimed at boosting food security across Nigeria.
This development was announced in a statement released Wednesday by the Federal Ministry of Finance and Coordinating Ministry of the Economy, following a high-level meeting involving Finance Minister Wale Edun, Minister of Agriculture and Food Security Senator Abubakar Kyari, and senior JICA officials.
“The Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, and the Minister of Agriculture and Food Security, Senator Abubakar Kyari, today met with senior representatives of the Japan International Cooperation Agency to advance the implementation of the Food Security Emergency Loan Support Programme,” the statement read.
According to the ministry, the $110 million facility is intended to strengthen Nigeria’s food production systems and build resilience amid ongoing global supply chain disruptions and persistent inflation at home.
“The JPY 15bn facility (approximately $110m) aims to support Nigeria’s food production systems and enhance resilience amid ongoing global supply challenges,” it added.
With the rainy season already underway a crucial period for agricultural activity the ministers emphasized the need for swift execution of key components of the programme to ensure timely impact on farming communities.
“Both ministers emphasised the importance of swift, coordinated action to maximise impact for farmers and rural communities,” the statement noted.
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JICA, while expressing continued support for the programme, requested formal clarification on adjustments proposed to the original implementation plan.
It was agreed that food production activities would begin immediately under the current framework, while other elements such as aggregation and financing would be reassessed in line with the original loan terms.
“JICA welcomed the government’s commitment to delivery and requested formal clarification on proposed implementation adjustments.
“It was jointly agreed that core production activities would proceed immediately under the existing framework, while additional components, such as aggregation and financing, would be reviewed in line with the original loan agreement,” the ministry said.
This move comes just days after President Bola Tinubu submitted a formal request to the National Assembly for approval of a new external borrowing plan totaling $21.5 billion under the 2025–2026 borrowing framework.
Included in the request are the ¥15 billion JICA loan and a €51 million grant to support development projects.
In his letter to lawmakers, the President said the funding would be directed toward job creation, skills development, entrepreneurship, poverty alleviation, and food security.
According to figures from the Debt Management Office, Nigeria’s outstanding debt to JICA stood at $53.31 million as of December 2024.
This accounts for 0.88% of the country’s total bilateral debt and 0.12% of overall external debt.
Approval of the new food security loan would raise Nigeria’s total debt to JICA to $163.31 million.