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As of the first quarter of 2024, agriculture has emerged as a significant player in Nigeria’s economy, contributing 17.89% to the GDP. This is a notable increase from 17.47% in Q1 2023 and 16.66% in Q4 2023. However, the country is grappling with severe food security challenges, further compounded by climate change, insurgency, and the lingering economic fallout from the COVID-19 pandemic.
According to a 2023 report by Cadre Harmonisé, 26.5 million people are expected to face high levels of food insecurity in Nigeria 2024. Additionally, around 9 million children are at risk of acute malnutrition, with 2.6 million facing Severe Acute Malnutrition (SAM) and requiring critical nutrition interventions.
First City Monument Bank (FCMB) is addressing this challenge. The bank, in a strategic move, partnered with Mercy Corps to bolster the resilience of Nigeria’s agriculture sector. This collaboration, backed by USAID’s ‘Feed the Future Nigeria Rural Resilience Activity,’ has opened up previously unavailable financing options for farmers. The result? Improved economic growth and social inclusion, particularly in the North-East of Nigeria.
FCMB’s approach to agriculture is more than just financial support. It adopts a comprehensive, forward-thinking strategy that includes capacity-building initiatives and technology. By integrating Agritech – technology that enhances farming through tools like data analytics, drones, and automation – FCMB is making it easy for farmers and agribusinesses to access financing and modernize their operations. This shift has increased productivity, higher profits, and a more resilient sector critical to Nigeria’s economic growth.
First City Monument Bank (FCMB) plays a pivotal role in Nigeria’s push to enhance agricultural productivity, promote investment, and combat food insecurity. Through its targeted programmes and extended credit facilities, the bank is helping transform rural areas into economic hubs, creating wealth and jobs. As of December 2023, FCMB had disbursed N204.28 billion in loans to the agricultural sector.
As part of FCMB Group Plc, a diversified financial services company, First City Monument Bank Limited remains committed to fostering inclusive and sustainable growth. By connecting people, capital, and markets, FCMB is helping to build a robust value chain in Nigeria’s agricultural sector that promotes economic and social well-being.