The United States Government, through the U.S. Agency for International Development, has facilitated $205m in debt and equity investments for Nigerian agribusinesses in the past five years.
The agency disclosed this on Tuesday in a statement announcing the USAID-funded West Africa Trade and Investment Hub workshop themed, ‘Leveraging Private Sector Engagement to Promote Sustainable Impact,’ that began on Wednesday.
According to the agency, the two-day event will highlight the Trade Hub’s efforts to expand trade and investment opportunities and improve livelihoods and communities in West Africa. It stated that Nigeria, with its untapped pool of labour, has vast potential for economic growth.
It continued that there is an opportunity for the country to become a dominant exporter and hub for the West Africa region and Africa.
The agency said, “Over the past five years, USAID has promoted private sector-led economic growth in Nigeria by facilitating $205m in debt and equity investments for Nigerian agribusinesses. USAID also provided partial risk guarantees that will support up to $120m in loans to agricultural, health, and renewable energy businesses.”
It further noted that the trade hub improves private sector competitiveness with a focus on increasing the agricultural productivity and profitability of smallholder farmers in Nigeria and promoting West Africa’s regional and international trade.
Using a market-based approach, the project also increases partnerships with firms in various sectors through a co-investment grant facility to improve private sector productivity, profitability, and competitiveness.
The USAID Acting Mission Director, Sara Werth, remarked, “Together, with our private sector partners and local and national governments throughout the region, we are so proud of the results we have achieved till date.
“As we continue to partner in the work necessary for sustainable economic growth, financial inclusion, and climate resilience, today’s learning event provides the environment to fuel continued collaboration and build new connections.”
The agency further stated that since the hub was launched in 2019, the project has catalyzed 93 private-sector investments across 16 West African countries. It added that the hub has also awarded $82.6m in co-investment grants to its partner companies, generated over $463m in sales, and created over 60,000 jobs.
