FG, Japan in Talks Over ¥15bn Food Security Loan

The Federal Government is ramping up negotiations with the Japan International Cooperation Agency (JICA) to expedite a ¥15bn (approximately $110 million) emergency loan aimed at boosting food security across Nigeria. 

This was revealed in a statement released by the Federal Ministry of Finance and the Coordinating Ministry of the Economy on Wednesday, following a high-level meeting involving Finance Minister Wale Edun, Agriculture Minister Senator Abubakar Kyari, and senior JICA officials.

“The Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, and the Minister of Agriculture and Food Security, Senator Abubakar Kyari, today met with senior representatives of the Japan International Cooperation Agency to advance the implementation of the Food Security Emergency Loan Support Programme,” the ministry said in the statement.

The loan is intended to strengthen Nigeria’s agricultural production systems, especially as the rainy season gets underway, with the ministers emphasizing the need for swift execution to benefit farmers and rural communities. “The JPY 15bn facility (approximately $110m) aims to support Nigeria’s food production systems and enhance resilience amid ongoing global supply challenges,” the ministry added.

JICA expressed continued commitment to the programme but called for formal clarification on implementation changes. “JICA welcomed the government’s commitment to delivery and requested formal clarification on proposed implementation adjustments. It was jointly agreed that core production activities would proceed immediately under the existing framework, while additional components, such as aggregation and financing, would be reviewed in line with the original loan agreement,” the statement read.

This development comes as President Bola Tinubu seeks legislative approval for a broader $21.5 billion external borrowing plan under the 2025–2026 framework, which includes the ¥15bn JICA loan and a €51 million grant to fund key development initiatives. According to the Debt Management Office, Nigeria currently owes JICA $53.31 million. If the new loan is finalized, the debt will increase to $163.31 million.