Nigeria has signed loan agreements worth €135 million (US$156 million) with the European Investment Bank to support healthcare manufacturing and agricultural value chains, in a move aimed at boosting domestic production and reducing import dependence.
The agreements, signed between the EIB’s development arm, EIB Global, and the Bank of Industry, were concluded on the sidelines of the eighth Nigeria–European Union dialogue held in Abuja on March 23.
The financing package is split into two components targeting priority sectors seen as critical to Nigeria’s economic diversification and resilience.
Under the first agreement, €50 million will be provided as a credit facility to support local manufacturers of pharmaceuticals, vaccines and diagnostic equipment.
The funding is expected to strengthen domestic healthcare production capacity, improve supply chains and reduce reliance on imported medical products.
Officials say the initiative is designed to mobilise long-term financing for companies operating in the health sector, enabling them to scale production, innovate and meet international quality standards.
“At the BOI, we consider healthcare product manufacturing both as a public health imperative and a strategic economic opportunity,” said Olasupo Olusi.
He added that the collaboration with EIB Global under the Human Development Accelerator programme would help create a sustainable financing framework to support Nigerian firms in the sector.
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The second tranche of €85 million is earmarked for private sector players, including cooperatives and small and medium-sized enterprises involved in cocoa production and dairy supply chains.
Around 70 percent of this funding will be directed specifically towards cocoa and dairy, sectors identified as having strong potential for value addition and export growth.
The financing is expected to improve production capacity, strengthen value chain organisation and enhance supply systems, particularly for agro-processing and distribution.
In addition, the programme includes technical assistance to support the Bank of Industry’s climate strategy, as well as improvements in environmental and social risk management within the agricultural sector.
“Our ambition is to support and advance the sustainable transformation of targeted value chains in Nigeria,” said Ambroise Fayolle, linking the initiative to the European Union’s Global Gateway strategy aimed at boosting investment in partner countries.
Analysts say the funding reflects growing interest among international development financiers in supporting Nigeria’s efforts to diversify its economy away from oil and strengthen domestic industries.
Nigeria has long relied on imports to meet a significant share of its pharmaceutical needs, while inefficiencies in agricultural value chains have limited the country’s ability to fully capitalise on its production potential.
By targeting both healthcare manufacturing and agriculture, the financing package seeks to address structural gaps while promoting private sector-led growth.
The European Investment Bank has maintained a longstanding presence in Nigeria, with total commitments of around €2.3 billion since it began operations in the country in 1978.
Its investments have spanned sectors including urban transport, climate adaptation, innovation, agri-logistics and financing for small and medium-sized enterprises.
The latest agreements signal continued cooperation between Nigeria and European partners in supporting economic development, with a focus on sustainability, industrialisation and improved access to essential goods.
Officials say the success of the programme will depend on effective implementation and the ability of local firms to leverage the financing to expand capacity and improve competitiveness.
For now, the deal marks a significant step towards strengthening Nigeria’s healthcare and agricultural sectors, while advancing broader efforts to build a more resilient and diversified economy.
