The Federal Government has unveiled plans to establish the Cooperative Bank of Nigeria alongside a nationwide digital identity system for cooperative societies, in a move aimed at strengthening agricultural financing, boosting financial inclusion, and improving food security across the country.
The Minister of State for Agriculture and Food Security, Dr. Aliyu Sabi Abdullahi, disclosed this in Lagos during a South-West engagement on cooperative sector reforms, including share capital mobilisation and digitalisation of cooperative societies.
He explained that the proposed bank is designed to close long-standing financing gaps in the cooperative sector and provide affordable credit to farmers, traders, artisans, SMEs, women, youth, and persons with disabilities.
According to him, the cooperative movement has for too long operated without a dedicated financial institution that understands its structure and challenges.
“This initiative seeks to change that narrative,” he said.
Dr. Abdullahi added that the ownership structure of the proposed bank would be largely cooperative-driven, with 65 per cent equity held by cooperative societies and federations, 30 per cent allocated to private and institutional investors, and 5 per cent reserved for employees and cooperative-linked enterprises.
He stressed that the Federal Government will not fund the bank directly but will provide policy direction, regulatory backing, and coordination support.
The minister also announced plans to digitise the cooperative sector through the introduction of a Cooperative Verification Number (CVN) for registered societies and a Cooperative Members Identification Number (CoopID) for individuals.
He said the digital system, which will be linked to the National Identity Number (NIN), is aimed at eliminating fake cooperatives, improving transparency, and restoring trust in cooperative operations.
Beyond financing reforms, stakeholders at the event also pushed for a shift in how agriculture is approached in Nigeria.
Speaking at the Xtralarge Agriwealth Revolution Summit in Lagos, the Group Managing Director of Xtralarge Farms & Resorts, Dr. Mrs. Moji Davids, argued that Nigeria’s challenge is not the number of farmers, but the lack of structured agribusiness models.
She said the country already has enough people engaged in farming, but many remain stuck in low-income production due to weak systems around processing, branding, logistics, and market access.
“We don’t need more farmers. We already have enough farmers in the industry,” she said, stressing the need to focus on agripreneurship instead.
According to her, the future of agriculture lies in building agribusinesses that can create wealth, generate jobs, and connect production to real market value, rather than simply increasing the number of people on farms.
The proposed reforms also include broader investments in cooperative-led housing, transport, agro-processing, logistics, and digital services through the planned Cooperative Trust and Investment Society of Nigeria.
Officials say the overall goal is to modernise the cooperative sector and reposition it as a major driver of Nigeria’s economic growth and food security agenda.
