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West Africa’s private sector to get $60m USAID, Feed the Future grant
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West Africa’s private sector to get $60m USAID, Feed the Future grant
February 10, 2020 John Oba Agriculture 0



[Image: IMG-20200128-WA0050.jpg?resize=678%2C381&ssl=1]From left: Hon. CID Maduabum, newly appointed Director-General of PDP Governors Forum; Mary Beth Leonard, United States ambassador to Nigeria; Gov. Aminu Waziri Tambuwal, Chairman of the PDP-GF; Kathleen FitzGibbon, Deputy Chief of Mission, US embassy Nigeria; Mr Fabian Okoye, Special Adviser International Cooperation to Gov. Tambuwal, and Stephen Haykin, USAID Mission Director, when Gov. Tambuwal visited the US ambassador in Abuja



As part of efforts to improve overall agricultural production and processing standards and quality, increase regional and international exports in West Africa, the United States Agency for International Development (USAID) is set to launch the West Africa Trade & Investment Hub to give grants to private sector and other partners from a $60 million USAID Co-investment Fund

The initiative is aim at promoting co-investment opportunities, across multiple countries in West Africa, over the next five years, through grants to private sector and other partners from a $60 million USAID Co-investment Fund (out of a total funding facility of $90 million) managed by the West Africa Trade & Investment Hub Generate co-investments of $300 million from private sector partners to expand business operations, implement innovations and new technologies, increase production and productivity, and create 40,000 new jobs within targeted value chains.



This was revealed by the USAID Chief of Party, Mr. Michael Clements, during a presentation on the launch at the Global Food Security Strategic (GFSS) Stakeholders’ Workshop in Asaba, Delta State recently.



Clement said this will improve overall agricultural production and processing standards and quality to increase regional and international exports, particularly to the United States, through the African Growth and Opportunity Act (AGOA). It will introduce innovations and new technologies to modernize agricultural production and processing, in targeted value chains in Nigeria, that will have positive impacts on the livelihoods of smallholder producers Ensure increased women and youth empowerment are built into all interventions
Official launch of the West Africa Trade & Investment Hub which will be done soon working with implementation partners and potential grant applicants to finalize co-investment agreements to reach Year 1 Work Plan objectives for both Components Solidify pipeline with USAID to ensure partnerships for Year 2 and beyond



“The West Africa Trade & Investment Hub will provide matching Grants in Nigeria for co-investment initiatives to support the development of Private Sector Business Concepts and R&D Grants range from $250 000 to $2 million. Performance period can be over multiple years Minimum required matching for co-investments is 1:1 Project leverage target for co-investments over the life of the project is 1:5 Certain Grants are country-specific, based on USAID Country Mission contribution Across all countries, for every $3 contributed, $2 is allocated to the Co-Investment Fund Estimated allocations in the Co-Investment Fund for Nigeria are Component A: Catalytic Business Concepts $16.2 million Component B: Research & Development $10.8 million
“For every $3 contributed by Missions, $1 is allocated to Technical Assistance, which includes operational costs 


The Trade & Investment Hub will provide TA to companies on AGOA One-on-one assistance with companies to improve standards for AGOA exports Group trainings to teach framework of AGOA in ECOWAS countries


“Promotes a market-based approach Sustainable business model Potential to scale-up activity Strongly innovative, technologically aware Ability to attract additional sources of financing High ratio of private investment / leverage Linkages with US companies Additionality from USAID funding Increases empowerment of women and youth Sustainable impact on smallholder producers in targeted value chains / regions,” he said.
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