British International Investment, the United Kingdom’s development finance institution and impact investor, has announced a $7.5 m debt investment in Nigerian agri-tech platform Babban Gona to enhance food security and strengthen climate resilience for smallholder farmers in northern Nigeria.
Announcing the commitment in Lagos during a media parley on Tuesday, BII said the funding is targeted at tackling key barriers limiting smallholder farmers, including poor access to finance, agricultural inputs, training, and reliable markets.
Northern Nigeria, which produces between 50 and 60 per cent of the country’s maize, continues to grapple with challenges of low productivity, high post-harvest losses of up to 30 per cent, and increasing vulnerability to climate risks such as flooding and droughts.
Babban Gona’s technology-driven model is designed to address these structural problems by providing farmers with end-to-end services through its AI-powered platform. These services include access to quality inputs, financial credit, training on climate-smart practices, and support for harvest, storage, and market access.
Through its franchise system, the company also enables top-performing farmers to establish and run their own micro-enterprises, which provide agricultural services and working capital financing to other farmers. The model allows these enterprises to eventually scale up and access funding from local banks, thereby creating a sustainable financing pathway for smallholders.
With the new funding from BII, Babban Gona projects to improve yields, increase incomes, and strengthen climate resilience for about 140,000 farmers in northern Nigeria by 2029.
Speaking at the event, BII’s West Africa Regional Director and Head of Office for Nigeria, Benson Adenuga, said the investment reflects the institution’s strategy of deploying catalytic capital to innovative, high-impact businesses that can transform lives.
“Our partnership with Babban Gona is a great example of how BII is using catalytic capital to support innovative, high-impact business models that transform lives and economies. By backing this pioneering franchise model, we are not only addressing a critical financing gap but also helping to build a more resilient and productive agricultural sector and support smallholder farmers in a region that is often overlooked by investors. This investment will deliver tangible impact at scale, strengthening food security and climate resilience,” Adenuga said.
Also speaking, UK Trade Envoy to Nigeria Florence Eshalomi described the funding as a milestone that demonstrates the UK-Nigeria partnership for sustainable and inclusive growth.
She said, “Today, I’m proud to stand alongside British International Investment as we announce a $7.5 m investment into Babban Gona, a pioneering social enterprise transforming smallholder agriculture in Nigeria. This investment will help scale an innovative, tech-enabled model that empowers farmers with access to finance, training, and services, boosting yields and incomes while building climate resilience.
“From early-stage UK support through Propcom Maikarfi to this milestone investment, Babban Gona’s journey is a powerful example of what’s possible when we invest in Nigeria’s agricultural future.”
Babban Gona’s managing director, Kola Masha, described BII’s support as a reaffirmation of its long-standing commitment to the enterprise, recalling that the British government was the first institutional investor in its 2013 public debt raise.
“Now, a little more than a decade later, to have British International Investment commit an amount 10 times larger is a powerful testament to our shared vision for bettering the lives of smallholder farmers. We are thrilled to have them partner with us in this next phase of our journey as we accelerate the impact of our work, with the ambition to become the earth’s highest-impact business,” he added.
The PUNCH reported that the British International Investment has revealed that it invested about £1.09bn in African companies in 2024.
