By Faridat Salifu
The Abia State Government has secured a partnership with the African Development Bank (AfDB) to establish a $200 million agro-industrial zone under Tranche 2 of the Special Agro-Industrial Processing Zones (SAPZ) programme.
Governor Alex Otti assured the bank of the state’s readiness to co-finance essential infrastructure, including access roads and electricity, to meet all requirements for inclusion in the second tranche of the initiative.
He made the pledge while receiving the AfDB pre-appraisal mission team led by Bernard Onzima at his country home in Nvosi, Isialangwa South Local Government Area on Monday.
Governor Otti, who expressed gratitude to the AfDB for considering Abia after the state missed out on Tranche 1, highlighted the availability of additional sites should the full $200 million allocation be granted.
He commended the bank for supporting the Abia State Integrated Infrastructure Development Project, noting that the state had recently paid its counterpart funding to accelerate project implementation.
Governor Otti also expressed optimism that the partnership would strengthen ties with AfDB and its partners, ensuring that Abia benefits fully from the programme’s investment in agro-industrial development.
AfDB’s Onzima explained that the mission was conducting a pre-appraisal for Phase 2 of the SAPZ programme, designed to address downstream agro-processing challenges and de-risk private investment in agriculture across Africa.
Tranche 2 targets eight states with a $200 million AfDB facility, complemented by an expected $150 million co-financing package from the Islamic Development Bank.
The mission assessed Abia’s readiness in terms of site suitability, environmental and social safeguards, financial management, procurement capacity, and private sector engagement.
“Agro-industrial processing zones will be more sustainable when the public sector collaborates with the private sector,” Onzima said.
Speaking earlier, Cliff Agbaeze noted that Ukwa West was chosen for its proximity to the Abia Innovation and Industrial Park and outlined plans to expand agro-processing activities across other local government areas.
