The European Investment Bank Group’s international development arm, EIB Global, and First City Monument Bank (FCMB) have announced a financing facility worth €85 million, equivalent to approximately ₦127.4 billion, to support agricultural businesses and strengthen key value chains in Nigeria.
The financing is designed to improve access to long-term funding for private-sector companies operating across the agricultural sector, with at least 70 per cent of the facility dedicated to cocoa and dairy value chains. The initiative is expected to support farmers, cooperatives, processors and agribusinesses seeking to expand production, improve processing capacity and reach new markets.
The agreement was announced on October 14, 2026, during the Annual Meetings of the International Monetary Fund and the World Bank Group in Bangkok, Thailand. The announcement was attended by representatives of the European Investment Bank, the European Commission, Nigeria’s Federal Government and FCMB, including FCMB Managing Director and Chief Executive Officer, Yemisi Edun.
According to the European Investment Bank, the financing will help address funding gaps across agricultural value chains by providing businesses with resources to increase production, improve operational efficiency and strengthen their competitiveness. The partnership is also expected to encourage greater local processing, allowing more value to be retained within Nigeria rather than relying primarily on exports of unprocessed agricultural commodities.
For the cocoa sector, the facility is expected to strengthen processing capacity, provide liquidity support to farmers and cooperatives, and improve product traceability. These measures are particularly important as international markets increasingly demand evidence that agricultural commodities meet environmental and sustainability requirements.
Nigeria is one of the world’s major cocoa-producing countries, but the sector continues to face challenges involving access to finance, productivity, infrastructure and domestic processing capacity. Improved financing could help local businesses invest in processing equipment, storage facilities, quality control and export infrastructure, creating opportunities to increase earnings from cocoa beyond the sale of raw beans.
The dairy sector is another major beneficiary of the arrangement. Funding is expected to support businesses across the dairy value chain, helping improve milk supply, production capacity and linkages between producers and processors. The initiative also represents EIB Global’s first investment covering the dairy sector outside the European Union.
The financing is aligned with the European Union’s Global Gateway investment strategy, which seeks to mobilise investment in infrastructure, sustainable development and private-sector growth. Alongside the credit facility, EIB Global is providing technical assistance to help FCMB strengthen its climate strategy and support Nigerian agricultural businesses in managing environmental and social risks.
FCMB Chief Executive Officer Yemisi Edun said the partnership would provide businesses across the cocoa and dairy value chains with access to the long-term financing required to increase production, expand processing and reach new markets. She also emphasised the importance of combining funding with technical support to promote sustainable growth and strengthen rural livelihoods.
For Nigeria’s economy, the initiative could support employment, improve agricultural productivity and encourage export diversification. Increased domestic processing may also create opportunities for manufacturers, logistics operators, packaging companies and other businesses serving agricultural value chains.
However, the ultimate impact will depend on how effectively the funding reaches eligible businesses and whether beneficiaries can translate access to finance into higher productivity and stronger market access.
The agreement represents a significant financing opportunity for Nigerian agribusinesses, particularly cocoa and dairy operators seeking to expand their operations, strengthen local value addition and compete more effectively in domestic and international markets.
