• Nigeria
Where the impacts of the investment may be experienced.
Financial Institutions
  • Netherlands Development Finance Company (FMO)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Bank Risk Rating
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Jun 27, 2017
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Babban Gona
The holder of the loan, grant, or other investment.
  • Agriculture and Forestry
  • Finance
The service or industry focus of the investment. A project can have several sectors.
Investment Amount (USD)
$ 4.76 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Currency conversion note:
Bank reported USD 4.00 MLN
Converted using 2017-12-25 exchange rate.
Bank Documents
Primary Source

Original disclosure @ FMO website

Updated in EWS Apr 9, 2018

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Project Description


Established in 2012, Babban Gona ("Great Farm" in Hausa) is a financially sustainable and scalable agricultural enterprise co-owned by its farmers. The company provides cost effective end-to-end services to a network of franchise farmer groups on credit that is repayable at the end of the season. These services include training in sustainable farming, soil analysis, crop insurance, access to storage facilities, including a warehouse receipt program, marketing and distribution of products and access to credit, fertilizer and seeds. Babban Gona proactively supports its farmers to become more resilient to the effects of climate change. In addition to drought tolerant seed varieties and insurance to protect farmers against future environmental uncertainty, it offers trainings on topics like soil structure improvements, water retention and the effects of deforestation. Furthermore, Babban Gona has developed a 'Last Mile' business line. This initiative provides Babban Gona members with products (e.g. fertilizer, FMCG goods) to sell to non-Babban Gona members, thus further increasing their net incomes.


FMO has extended a US$ 4 million loan to Babban Gona via its Farmer Finance program. The investment comes from MASSIF, the financial inclusion fund that FMO manages on behalf of the Dutch government. Babban Gona will use the financing to support and expand its innovative farmer service model that has proven to increase smallholders' yield up to 2 times, and income up to 3.5 times, the national average.


Through its model, Babban Gona creates much-needed jobs in northern Nigeria and a path to rise out of poverty and subsistence farming for smallholder farmers. Besides increasing farmer's yield and income, the Babban Gona franchise is demonstrating that the smallholder segment is a viable model for investment. Over the past 6 years, Babban Gona has provided its services to over 21,000 smallholder farmers while maintaining a 99.9% loan repayment rate. Babban Gona is currently the premier maize producer in Nigeria with a goal to scale and impact one million smallholder farmers by 2025.

Investment Description
  • Netherlands Development Finance Company (FMO)
Contact Information

South Africa
+27 11 507 2500



Communities who believe they will be negatively affected by a project funded by the Dutch Development Bank (FMO) may be able to file a complaint with the Independent Complaints Mechanism, which is the joint independent accountability mechanism of the Dutch Development Bank (FMO) and the German Investment Corporation (KfW) . A complaint can be filed in writing, by email, post, or online. The complaint can be filed in English or any other language of the complainant. The Independent Complaints Mechanism is comprised of a three-member Independent Expert Panel and it can provide either problem-solving, compliance review or both, in either order. Additional information about this accountability mechanism, including a guide and template for filing a complaint, can be found at: