NIRSAL Records N100bn Agric Credit Guarantees

The Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL) has hit a record N100bn in approved credit guarantees for agriculture loans and investments in Nigeria.

This milestone enables banks to expand lending to agribusinesses that would otherwise be considered too risky.

“NIRSAL Plc is closing 2025 with total approved credit guarantees for over N100bn in loans and investments in agriculture and agribusinesses across Nigeria,” the organisation said in a statement.

The credit guarantees support key activities like commodity exports, agro-processing, input supply, and logistics.

Its partnerships with commercial banks and lenders have strengthened lender confidence in Nigeria’s agriculture sector.

NIRSAL received the MSME Agrifinance Enabler of the Year Award for its role in structuring and de-risking agricultural transactions.

“The power of structured risk-sharing models, strong partnerships, and resilience of Nigeria’s agribusiness entrepreneurs” drove this success, said MD Sa’ad Hamidu.

NIRSAL’s technical assistance and project-mapping protocols unlock lending opportunities across the agriculture-to-market chain.

“Capital exists to transform agriculture, but inherent risks discourage lending,” NIRSAL noted.

The N100bn guarantee milestone reflects a shift “from hesitation to increased confidence” driven by NIRSAL’s risk-sharing guarantees. Financial institutions rely on these guarantees to scale agricultural portfolios.

41 master agreements have been signed with counterparties committed to financing agriculture and agribusiness in Nigeria. NIRSAL is also strengthening capacity for climate finance readiness as a Green Climate Fund partner.

Looking ahead, the MD said, “Our journey is far from over… We will continue to innovate, deepen partnerships, and scale solutions that innovate, deepen partnerships, and scale solutions that reduce risks and unlock finance for Nigeria’s agriculture sector.”