Nigeria’s foremost development finance institution, the Bank of Industry (BOI), has secured a €60 million credit facility from the European Investment Bank (EIB) to accelerate the country’s cocoa and dairy value addition programme, with a strong focus on processing, ingredient production, and chocolate manufacturing.
The financing is expected to strengthen Nigeria’s agro-industrial sector by supporting businesses involved in transforming raw agricultural commodities into high-value finished products, thereby increasing local production, expanding exports, and creating sustainable employment opportunities.
Furthermore, the facility aligns with ongoing efforts to diversify the Nigerian economy by promoting industrialisation through agriculture and expanding the country’s value-added manufacturing capacity.
Boosting Cocoa Value Addition
The Bank of Industry explained that a significant portion of the funding will support investments across Nigeria’s cocoa value chain.
Furthermore, financing will encourage local processing of cocoa beans into cocoa butter, cocoa powder, cocoa liquor, confectionery ingredients, and finished chocolate products rather than exporting raw commodities.
Greater local processing increases export earnings.
Strengthening Dairy Processing
The credit facility will also support the development of Nigeria’s dairy industry.
Furthermore, investments will focus on expanding milk processing capacity, improving dairy infrastructure, strengthening supply chains, and encouraging greater domestic production of dairy products and industrial ingredients.
A stronger dairy industry reduces import dependence.
Driving Industrialisation Through Agriculture
According to BOI, agriculture remains one of the strongest foundations for industrial development.
Furthermore, encouraging agro-processing creates opportunities for manufacturers, farmers, processors, exporters, and supporting industries while increasing the value generated from agricultural production.
Industrialisation begins with value addition.
Creating Employment Opportunities
The bank noted that expanding cocoa and dairy processing will generate employment throughout the agricultural value chain.
Furthermore, farmers, transport operators, factory workers, food processors, logistics providers, and marketing professionals are expected to benefit from increased investments supported by the facility.
Job creation strengthens economic growth.
Supporting Small and Medium Enterprises
BOI reaffirmed its commitment to supporting Micro, Small and Medium Enterprises (MSMEs) operating within the agricultural processing sector.
Furthermore, eligible businesses will gain improved access to financing needed to expand production, modernise facilities, adopt advanced technologies, and improve product quality.
Access to finance promotes enterprise development.
Enhancing Export Competitiveness
The bank believes increased domestic processing will improve Nigeria’s competitiveness within international agricultural markets.
Furthermore, exporting processed products instead of raw commodities allows the country to capture greater value while strengthening foreign exchange earnings and improving trade performance.
Value-added exports generate higher returns.
Strengthening Food Manufacturing
The funding is also expected to stimulate broader food manufacturing activities across Nigeria.
Furthermore, investments in processing infrastructure will encourage innovation, improve product standards, expand production capacity, and strengthen linkages between agriculture and manufacturing.
Manufacturing drives sustainable development.
Advancing Economic Diversification
The Bank of Industry emphasised that the €60 million facility represents another important step in Nigeria’s economic diversification strategy.
Furthermore, by supporting cocoa processing, dairy development, ingredient manufacturing, and chocolate production, the partnership
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