The Nigerian government, through its various federal institutions and agencies, offers loans and grants for agriculture for farmers to expand their production, obtain modern technology, and increase the quality of their food.
In 2025, a variety of programs will remain active, such as programs like the Anchor Borrowers’ Programme (ABP), the Agric-Business/Small and Medium Enterprises Investment Scheme (AGSMEIS), and the National Agricultural Development Fund (NADF). These programs aim to help both commercial and smallholder farmers with crop cultivation and aquaculture, livestock and processing of agro products.
This guide explains what grants and loans are. We also discuss what they fund, the requirements, coverage, and how farmers are able to apply. It also provides the timeframes and challenges that are common, as well as official programs that can help you avoid fraud.
About agriculture grants along with loans for farmers
Loans and grants for agriculture are financial interventions offered by the government and through the Central Bank of Nigeria (CBN) as well as development institutions that aid cooperatives or individuals involved in agriculture and agribusiness.
- Grants are non-repayable grants that are designed to help farmers. They are typically utilised for training seeds, training, or infrastructure development.
- Credits are credit cards that can be repaid with low or no rates of interest, intended to boost production and encourage food sufficiency.
They are generally run by institutions such as the NIRSAL Microfinance Bank (NMFB), the Bank of Agriculture (BOA) and the Central Bank of Nigeria (CBN). They serve various value chains in agriculture — livestock, crops,poultry, fisheries and agro-processing – making sure that they give priority to women and youth farmers.
Information can vary based on the phase of the program; verify the details on official websites prior to applying.
Funding & Coverage of Agricultural Grants and Loans
Different agricultural programs in Nigeria offer various funding levels depending on the project size and sector focus.
| Program Name | Funding Range | Interest Rate | Tenure/Duration | Target Group |
| Anchor Borrowers’ Programme (ABP) | ₦250,000 – ₦10 million | 5% per annum | Based on crop cycle | Smallholder farmers, cooperatives |
| AGSMEIS (Agribusiness) | Up to ₦10 million | 9% per annum | Up to 7 years | Agribusiness owners, processors |
| Agricultural Credit Guarantee Scheme (ACGSF) | ₦20,000 – ₦10 million | 5%–9% per annum | 1–7 years | Individual farmers, agro-coops |
| Nigeria Youth Investment Fund (NYIF – Agric Segment) | ₦250,000 – ₦3 million | 5% per annum | 5 years | Young farmers aged 18–35 |
| National Agricultural Development Fund (NADF) | Variable | 0%–5% | Varies | Rural and commercial farmers |
| Commercial Agriculture Credit Scheme (CACS) | ₦10 million – ₦2 billion | 9% per annum | Up to 9 years | Large-scale farmers and agribusinesses |
Eligibility for Agricultural Grants and Loans in Nigeria
The eligibility criteria vary for the specific funding program, but they generally comprise:
- Applicants must be Nigerian citizens or members of a registered farmer cooperative.
- It is required to be operating in an approved agricultural venture (crop livestock, crop aquaculture, etc.).
- Be sure to have a bank verification number (BVN) and active bank account.
- You must have a corporate or cooperative registration certificate.
- Send a viable production plan or business plan.
- Do not become a defaulter on loans with the financial institution.
- Youth programs need applicants between 18 and 35 years old.
- Priority is given preference to women, young people and farmers from rural areas involved in the production of food.
List of Agricultural Grant and Loan Programs in Nigeria (2025)
| Program | Focus Area | Funding Type | Managing Institution | Application Portal |
| Anchor Borrowers’ Programme (ABP) | Crop and livestock production | Loan | Central Bank of Nigeria / NMFB | Apply via NMFB Portal |
| AGSMEIS (Agribusiness) | Agribusiness and processing | Loan/Grant | NIRSAL Microfinance Bank | Apply via NMFB Portal |
| Agricultural Credit Guarantee Scheme (ACGSF) | Small-scale farming | Loan | Central Bank of Nigeria | Apply via CBN ACGSF Portal |
| Nigeria Youth Investment Fund (NYIF) | Youth farmers | Loan/Grant | Federal Ministry of Youth & Sports / NMFB | Apply via NYIF Portal |
| National Agricultural Development Fund (NADF) | Rural farming and agro projects | Grant | Federal Ministry of Agriculture | Apply via NADF Portal |
| Commercial Agriculture Credit Scheme (CACS) | Large-scale agriculture | Loan | CBN / Participating Banks | Apply via CACS Portal |
How to Apply for Agricultural Grants and Loans in Nigeria
- Explore the Programs Available Refer to the list of funding options above, and select the most appropriate one for your project’s size and industry.
- Create Your Documents Take all necessary documents, such as the BVN, CAC Certificate ID, BVN, and a business plan.
- Access the Official Portal – Apply directly on the official CBN, NMFB, or BOA websites.
- Fill out the Application Formula • Provide exact details about your farming activities and upload the supporting documents.
- Participate in mandatory training (if necessary) — Some programs require entrepreneurship and agribusiness training.
- Wait for a review and verification. Your information and the location of your farm can be confirmed.
- Approval and Distribution Approved applicants receive money directly into their bank accounts or through cooperatives of agriculture.
Required Documents for Application
- A valid means of identification (National ID, voter’s card or passport)
- BCN and account information
- Certificate of Cooperative Registration or CAC
- Farm or business plan
- Tax Identification Number (TIN) (optional)
- Utility bills or evidence of address
- Photos of farms or land ownership documents
- Passport photos
Timelines
- Application Review: 2-6 weeks depending on program volume.
- Validation and Acceptance: Three to eight weeks are required for verification of farm assessments and documents.
- Disbursement: 2-4 weeks after approval.
The processing time can vary depending on the funding release by theCentral Bank or partner agencies.
Common Challenges or Warnings
- Be wary of fake agents or websites that offer false agricultural grants.
- Registration and application charges are required for legitimate government programs.
- Applications with no valid BVN or uncompleted documentation are discarded.
- Ensure your bank details match your BVN information.
- Only submit applications through vetted portals like NMFB, BOA, or official CBN websites.
Comparison: Agricultural Grants vs. Agricultural Loans
| Feature | Agricultural Grants | Agricultural Loans |
| Repayment | Not required | Must be repaid over time |
| Interest | 0% | 0%–9% depending on program |
| Funding Source | Government or donors | CBN, NMFB, or commercial banks |
| Target Group | Rural farmers, youth, women | Small and large-scale producers |
| Disbursement Method | Direct or through cooperatives | Through partner banks or NMFB |
FAQs on Agricultural Grants and Loans for Farmers in Nigeria
1. Are there agricultural grants available in 2025?
Yes, several government-backed grants like NADF and AGSMEIS are ongoing.
2. Do farmers need collateral to access these loans?
Most smallholder loan programs require no traditional collateral, though guarantors may be needed.
3. Can cooperative societies apply?
Yes. Registered cooperatives are eligible for both grants and credit facilities.
4. What is the minimum amount a farmer can get?
Minimum funding starts around ₦250,000 depending on the program.
5. Are the loans interest-free?
Some programs, like the Non-Interest Banking Window, offer zero-interest loans under profit-sharing terms.
6. Can I apply if my farm is not registered?
You need basic registration, such as a cooperative membership or local government certification.
7. How long does it take to receive funds?
Typically within 4 to 10 weeks after approval.
8. Are there programs for youth farmers?
Yes, the NYIF and AGSMEIS Youth Scheme specifically target young farmers.
9. Can women farmers apply?
Yes. Many grants prioritize women-led farms and agribusinesses.
10. What crops are supported under these programs?
Rice, maize, cassava, soybean, poultry, fish, and livestock.
11. Can large-scale farmers apply?
Yes. Programs like CACS and NADF support commercial-scale operations.
12. How can I check my application status?
Use your registration number or BVN on the official portal where you applied.
Conclusion
The agricultural grants and loans for farmers in Nigeria provide critical financial support to increase productivity and ensure food security. Whether you’re a smallholder or commercial farmer, these programs offer affordable funding options tailored to your needs.
By applying through verified portals, preparing complete documentation, and following proper guidelines, Nigerian farmers can access government-backed funds to grow their agribusiness successfully.
Disclaimer: FederalGrantsInfo.com provides verified information for educational purposes only. We do not distribute grants or charge any application fees. Always confirm current details through official portals.