Livestock Ministry Moves to Secure Single-Digit Loans for Farmers

The Federal Ministry of Livestock Development is moving to improve access to affordable financing for farmers and businesses across Nigeria's livestock sector, with plans to engage the Central Bank of Nigeria and the Ministry of Finance on single-digit interest rates.

Minister of Livestock Development, Idi Maiha , disclosed the plan during a facility tour of the ABIS ultra-modern livestock processing factory in Lekki, Lagos.

Affordable Credit Becomes a Sector Priority

Maiha said the ministry will work with the finance ministry and the CBN to secure loans with single-digit interest rates and longer repayment periods for livestock operators.

The proposed financing framework is aimed at addressing one of the major constraints facing businesses across the livestock value chain: access to capital that can be repaid over a sufficiently long period.

Long-Term Loans Could Support Expansion

Beyond lower interest rates, the minister highlighted the need for long-term financing and loan moratoriums.

For livestock businesses, longer repayment periods could provide greater room to invest in production, processing, equipment and other infrastructure before repayments begin to put pressure on cash flow.

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Processing Capacity Creates Fresh Financing Demand

The visit to the ABIS processing facility also highlighted the investment required to build a more developed livestock value chain.

As Nigeria seeks to expand local production and processing, businesses will require capital not only for farming but also for modern processing facilities and related infrastructure.

Government Targets a More Investable Livestock Sector

The planned engagement with the CBN and Ministry of Finance signals an attempt to connect livestock policy with financing conditions.

If affordable and patient capital becomes available, livestock operators could have greater capacity to expand production and invest across the value chain.

For the sector, the next step will be turning the proposed discussions into a financing programme that farmers and livestock businesses can actually access.