The Federal Government has launched a comprehensive debt recovery campaign to recover more than $20 billion owed to the Bank of Agriculture (BoA), as part of efforts to revitalise the bank and strengthen Nigeria’s agricultural sector.
Speaking to reporters on the fringes of the National Youth Dialogue on Inclusive Food Systems, which ActionAid Nigeria organized in partnership with the Nigerian Senate and with support from GIZ, in Abuja on Thursday, Mr. Ayo Sotinrin, the Managing Director and Chief Executive Officer of BoA, made this announcement.
Mr Sotinrin announced the launch of “Operation Recover All”, a nationwide campaign to retrieve outstanding loans from defaulters. He noted that debtors would be formally notified and urged to settle their obligations promptly.
“We’re sending letters to every debtor, appealing for full repayment. If you honour your loan, you’ll become eligible for new credit under revised terms,” he said.
The BoA boss highlighted that the debt recovery initiative is central to the bank’s ongoing restructuring efforts and ties into a planned N1 trillion recapitalisation programme—equivalent to approximately $1 billion. He reaffirmed President Bola Ahmed Tinubu’s commitment to injecting fresh capital into the institution to reposition it as a key enabler of national food security and economic diversification.
“We are not going to overstretch our balance sheet. We plan to raise international capital and leverage available resources to effectively cover critical segments of the agricultural value chain,” he added.
According to Sotinrin, the revitalised BoA aims to support between 40 and 70 million farmers nationwide, shifting the perception of agriculture from a subsistence activity to a commercially viable enterprise.
Part of the bank’s strategic goal is to increase average agricultural yields from 1 tonne per hectare to as much as 9 tonnes, thereby tackling food insecurity and reducing food inflation in the country.
As a key component of its reform, BoA will also digitise its operations to facilitate easier and faster access to capital for rural farmers and agribusinesses.
While the initial approach to loan recovery will be conciliatory, Sotinrin warned that enforcement actions may follow if debtors fail to comply.
“The recovery of these funds is essential to the bank’s recapitalisation and long-term sustainability. With strong backing from the Federal Government, we are optimistic about repositioning BoA as a central pillar in Nigeria’s agricultural transformation,” he concluded.
