Abia State Partners with AfDB for $200M Agro Project

Abia State has finalized plans to partner with the African Development Bank (AfDB) for a $200 million agro-industrial project as part of the second tranche of the Special Agro-Industrial Processing Zones (SAPZ) program. Governor Alex Otti assured the AfDB's pre-appraisal mission team, led by Bernard Onzima, that the state is prepared to co-finance the project and meet critical infrastructure requirements.

The state has committed to providing counterpart funding, including access roads and electricity, to support the initiative. Otti expressed optimism about the benefits of the project, highlighting that Abia missed out on the first tranche but is now ready to ensure successful implementation.

The SAPZ initiative aims to address challenges in downstream agro-processing and attract private investment in agriculture across Africa. The current valuation of the SAPZ initiative is $1.2 billion, with the second tranche targeting eight states, including a $200 million facilitation from AfDB alongside a $150 million co-financing package from the Islamic Development Bank.