• New naira 75 billion ($55.4 million) private debt fund targets Nigeria’s agribusiness sector.

• First phase aims to raise naira 25 billion from institutional and qualified investors.

• Vehicle complements a $75 million equity fund focused on West Africa.

Sahel Capital, an investment manager focused on agriculture and agribusiness in sub-Saharan Africa, on Tuesday, February 24, announced the launch of the Sahel Agribusiness Private Debt Fund, a naira 75 billion ($55.4 million) vehicle designed to finance agribusiness projects in Nigeria.

Structured as a closed-end private debt fund, the vehicle begins with a first phase targeting naira 25 billion.

Subscription is limited to qualified institutional investors, including pension funds, insurance companies and asset managers, as well as high-net-worth individuals. The fund is supported by a consortium of partners to ensure execution, including CardinalStone, STL Trustees Limited, KPMG, PwC, Stanbic IBTC and the law firm G. Elias.

The new vehicle complements the existing Sahel Capital Agribusiness Fund II (Scaf II), which mobilizes $75 million to take equity stakes in agribusiness companies across West Africa.

Unlike Scaf II, the new fund focuses exclusively on Nigeria and prioritizes local currency financing, reducing foreign exchange risk for beneficiary companies.

Together, the two instruments aim to narrow the financing gap, strengthen productive capacity and further structure agricultural value chains.

Agriculture remains a pillar of Nigeria’s economy but continues to face structural constraints, including limited access to financing. The sector’s financing gap is estimated at $180 million, according to 2024 data from the Nigeria Agricultural Development Fund (NADF).

Sandrine Gaingne