EIB Global invests US$95.3M in Nigeria’s dairy sector

NIGERIA – The European Investment Bank Group’s international development arm, EIB Global, and First City Monument Bank (FCMB) have announced a US$95.27 million (€85 million) investment to support private-sector companies across agricultural value chains.

The operation is EIB Global’s first investment in the dairy sector outside the European Union and aligns with Nigeria’s development objectives for sustainable agriculture and inclusion, as well as environmental and social standards (ESS).

EIB Global financing will address market gaps in the dairy sector, enabling EU businesses in Nigeria to grow by increasing milk supply.

As one of the world’s largest cocoa exporters, Nigeria’s investments through FCMB will strengthen industrial processing capacity across the value chain, provide liquidity support to cocoa cooperatives and farmers, and improve product traceability.

The EIB Group will ensure compliance with the EU Regulation on Deforestation (EUDR), foster biodiversity conservation, reduce environmental externalities, and support inclusive rural development in line with EU standards, the EIB Group’s Climate Roadmap, and the European Green Deal.

Alongside the credit line, EIB Global is providing technical assistance to support FCMB’s climate action strategy and the Nigerian agriculture sector’s capacity to manage environmental and social risks.

“The EIB Group invests in agricultural value chains in Africa – main drivers of food security and economic growth,” said EIB Group President Nadia Calviño. “These projects also open business opportunities for EU companies in Nigeria, building a truly a win-win partnership.”

The project aligns with the EU’s geopolitical priorities and Nigeria’s development plans by supporting sustainable food systems and strategic food autonomy.

The investment also contributes to the Team Europe Initiative (TEI) on Green Economy, which promotes climate-smart agriculture, inclusive agribusiness, rural access and access to agricultural markets.

Overall in Nigeria, the EIB Group has invested €2.3 billion since the start of its activities in the country in 1978.

The financing has supported impactful and transformative investments in crucial areas for Nigeria such as sustainable urban transport, climate adaptation, innovation and digitalisation, and agribusiness logistics, as well as small and medium enterprises (SMEs) and mid-caps.

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