The first Phase of Special Agro-Industrial Processing Zones (SAPZs) Program will be implemented
in seven (7) states (Cross River, Imo, Kaduna, Kano, Kwara, Ogun, and Oyo) and the Federal
Capital Territory (FCT).
The Program development objective is to support inclusive and sustainable agro-industrial
development in Nigeria. The Program has four broad components namely: (i) Support the
development of enabling climate adapted infrastructure for Agro-Industrial Hubs (AIHs), (ii)
Improve agricultural productivity and enterprise development to enhance agricultural value chains
and job creation in the SAPZ Catchment Areas, (iii) Support Agro-Industrial Zone Policy and
Institutional Development, and (iv) Program Coordination and Management.
The key expected outputs of the SAPZ Program (Phase I) are: development of infrastructure for
eight (8) Agro-Industrial Processing Hubs (AIHs), fifteen (15) Agricultural Transformation Centers
(ATCs), 2,300 ha of irrigated lands and farm to market access roads; supply of certified agricultural
inputs and extension services; skills development for farmers and Micro, Small and Medium Scale
Enterprises (MSMEs), an updated agro-industrial zone policy and establishment of regulatory
institution/special regulatory regime. SAPZ Program (Phase I) will be implemented over five years
(2022 – 2026).
The total cost for the SAPZ Program (Phase I) is estimated at USD 538.05 million net of taxes.
The African Development Bank will provide an ADB Loan of USD 160 million (29.7% of total
cost) together with an Africa Growing Together Fund (AGTF) loan of USD 50 million (9.3%). The
Islamic Development Bank (IsDB) and International Fund for Agricultural Development (IFAD)
will provide parallel co-financing of USD 150 million (27.9%) and USD 100 million (18.6%),
respectively. Additional resources (USD 60 million, 11.1%) will be mobilized through the Green
Climate Fund (GCF) by IFAD from the IGREENFIN initiative. The Federal and State
Governments will contribute USD 18.05 million (3.4%) both cash and in kind.
The African Development Bank will finance all SAPZ Program (Phase I) components in Ogun,
Oyo, Kaduna, Cross River and Imo States. Under parallel co-financing arrangements, the IFAD
will finance activities under component 2 of the Program in Kano and Ogun States and related
Management costs, while IsDB will finance activities across all Program components in Kano and
Kwara states, and the FCT.
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