FG engages Japan for $110 million meals safety mortgage 

The Federal Authorities has deepened its engagement with the Japan Worldwide Cooperation Company (JICA) to advance the implementation of a ¥15 billion (roughly $110 million) emergency mortgage facility geared toward strengthening Nigeria’s meals safety.

This was disclosed in a press release by the Federal Ministry of Finance and Coordinating Ministry of the Financial system on Wednesday following a strategic assembly involving the Minister of Finance, Mr. Wale Edun, the Honourable Minister of Agriculture and Meals Safety, Senator Abubakar Kyari, and senior JICA officers.

Based on the ministry, “The Honourable Minister of Finance and Coordinating Minister of the Financial system, Mr. Wale Edun, and the Honourable Minister of Agriculture and Meals Safety, Senator Abubakar Kyari, immediately met with senior representatives of the Japan Worldwide Cooperation Company (JICA) to advance the implementation of the Meals Safety Emergency Mortgage Help Programme.” 

A mortgage for enhancing meals manufacturing and resilience 

The mortgage, focused at enhancing meals manufacturing methods and rising resilience throughout Nigeria, comes at a time when world provide chain disruptions and inflationary pressures proceed to pressure the nation’s agricultural sector.

“The JPY 15 billion facility (roughly $110 million) goals to assist Nigeria’s meals manufacturing methods and improve resilience amid ongoing world provide challenges,” the ministry said. 

With the 2025 wet season already underway, the ministers confused the urgency of executing core parts of the programme to make sure well timed assist for farmers and rural communities.

“Each Ministers emphasised the significance of swift, coordinated motion to maximise affect for farmers and rural communities,” the assertion learn. 

JICA seeks formal clarification 

JICA, in its response, reaffirmed its dedication to the partnership however requested formal clarification on proposed implementation modifications.

It was agreed that quick manufacturing actions would proceed as deliberate, whereas different parts, similar to aggregation and financing, could be reviewed towards the phrases of the unique settlement.

“JICA welcomed the federal government’s dedication to supply and requested formal clarification on proposed implementation changes. It was collectively agreed that core manufacturing actions would proceed instantly beneath the present framework, whereas extra parts, similar to aggregation and financing, could be reviewed according to the unique mortgage settlement,” the ministry added. 

The programme kinds a part of Nigeria’s broader technique to deal with meals insecurity, enhance agricultural productiveness, and stabilise the financial system by means of sustainable partnerships.

What it is best to know

• President Bola Tinubu has written to the Senate searching for approval for a recent exterior borrowing plan totalling about $21.5 billion beneath Nigeria’s 2025–2026 borrowing programme.
• Along with the multi-billion-dollar request, the President can be searching for the legislature’s approval for a mortgage of 15 billion Japanese Yen and a €51 million grant to assist key improvement priorities.
• Based on the letter submitted to the Nationwide Meeting, Tinubu defined that the brand new amenities are meant to generate employment, promote talent acquisition, foster entrepreneurship, scale back poverty, and improve meals safety.
• The president’s mortgage request comes at a time of rising considerations over Nigeria’s rising debt profile.
• Most up-to-date figures from the Debt Administration Workplace (DMO) present that as of December 2024, Nigeria owes the Japan Worldwide Cooperation Company (JICA) $53.31 million, representing 0.88% of Nigeria’s whole bilateral debt and 0.12% of the nation’s total exterior debt inventory.
• If permitted, the brand new meals safety mortgage will doubtless push Nigeria’s debt to Japan to $163.31 million.