The Bank of Agriculture (BOA) has unveiled an ambitious transformation programme aimed at modernising agricultural lending, expanding financial inclusion in rural communities, and supporting Nigeria’s long-term food security objectives through technology-driven reforms and strategic partnerships.
Speaking on Friday, Managing Director and Chief Executive Officer Ayodeji Sotinrin said the state-owned agricultural lender is implementing sweeping operational changes designed to improve the delivery of credit and intervention programmes to millions of smallholder farmers while strengthening transparency and efficiency across its operations.
A major pillar of the reform agenda is a newly signed Memorandum of Understanding (MoU) with the United Nations Development Programme (UNDP). The agreement aligns BOA’s restructuring with the UNDP’s Integrated Smart States Programme (ISSP), creating opportunities to mobilise blended finance, a funding model that combines public, private and development capital, as well as climate finance to support sustainable agricultural projects.
The partnership will also reinforce the Federal Government’s One Million Hectare Tree Crop Initiative, a flagship programme designed to boost commercial agriculture, create jobs, increase export earnings, and diversify Nigeria’s economy beyond oil.
“Our vision for the Bank of Agriculture is to deploy capital in an intelligent, smart, and highly efficient way to reposition the institution as a catalyst for food security and rural prosperity,” Sotinrin said. He added that the reforms are intended to bring more young farmers into the formal financial system while expanding access to affordable agricultural financing.
To improve accountability and reduce fraud, BOA has introduced a digital verification framework integrating Bank Verification Number (BVN) authentication, Know Your Customer (KYC) compliance procedures, and GPS-enabled farm mapping. The system is designed to verify genuine beneficiaries, improve loan monitoring, and ensure subsidised credit and agricultural inputs reach active farmers rather than fraudulent applicants.
Industry stakeholders have welcomed the initiative. National President of the All Farmers Association of Nigeria (AFAN), Muhammad Magaji, described the enhanced verification process as a significant step toward eliminating leakages that have historically undermined government-backed agricultural financing programmes.
Beyond lending reforms, BOA plans to accelerate its digital transformation by deploying digital farmer platforms, expanding agency banking services, and introducing solar-powered operations across its network of more than 110 branches. The bank said recent ICT infrastructure support from the UNDP will strengthen these efforts, enabling improved service delivery in underserved rural communities.
The reforms come as Nigeria intensifies efforts to raise agricultural productivity, improve food security, and expand access to finance for farmers. Analysts say successful implementation could strengthen rural economic activity, increase private-sector participation in agriculture, and enhance the effectiveness of government intervention programmes while supporting broader economic diversification.
