As the world marks World Environment Day 2026, the Executive Director of Business Banking at Union Bank of Nigeria, Mannir U. Ringim, has called for increased investment in agriculture, arguing that agricultural finance remains the most practical and impactful form of climate action for Nigeria and much of West Africa.
In an article released to commemorate the global environmental event, Ringim said climate change is already having severe consequences on farmers across the region, with changing rainfall patterns, desertification, flooding, and environmental degradation threatening livelihoods and food security.
According to him, smallholder farmers remain the first to experience the effects of climate change, yet they are often excluded from major climate finance discussions and investments.
“Nature has been sending signals, and farmers have always been the first to read them,” Ringim said. “But today, the signs have changed. The rains no longer come when expected, floods occur more frequently, and environmental conditions are becoming increasingly unpredictable.”
He argued that agriculture, food security, and climate resilience are interconnected challenges that require a unified approach.
The Union Bank executive noted that while agriculture remains one of the largest employers across Nigeria and West Africa, the sector continues to receive only a fraction of total bank lending despite its significant contribution to economic growth and social stability.
According to him, many financial institutions have historically viewed agriculture as a high-risk sector due to its dependence on weather conditions, seasonal income patterns, and limited collateral options for farmers.
However, Ringim maintained that many of these risks can be effectively managed through innovative financing models tailored to agricultural realities.
He highlighted several approaches, including value-chain financing, anchor borrower programmes, warehouse receipt systems, weather-index insurance, irrigation financing, and technology-driven credit assessment tools that leverage satellite imagery, digital payment records, and farm-level data.
“Much of what we call agricultural risk is not a law of nature. It is a design problem, and design problems can be solved,” he stated.
Ringim explained that many of the investments required to make agriculture more productive are also essential climate adaptation measures.
These include irrigation systems, drought-resistant seeds, improved storage facilities, healthier soil management practices, and agroforestry initiatives designed to combat desertification and environmental degradation.
He stressed that supporting farmers with access to affordable and patient capital would not only improve food production but also strengthen resilience against climate-related shocks.
The banker further called for stronger collaboration among governments, financial institutions, development finance organisations, insurers, agritech companies, and development partners to reduce risks and increase investment in the sector.
He noted that public-private partnerships and blended finance mechanisms remain critical to unlocking the capital required to transform agriculture across the region.
Ringim also pointed to the vast economic opportunities available within Nigeria’s agricultural value chain, particularly for young people and underserved communities.
According to him, access to financing can transform agriculture from a subsistence activity into a viable pathway for economic growth, job creation, and rural development.
He said institutions such as Union Bank increasingly view agricultural financing as a strategic investment in national development rather than a niche lending activity.
“At Union Bank, we regard agricultural finance not as charity, but as national infrastructure and, increasingly, climate infrastructure,” he said.
Ringim concluded by urging the financial sector to move beyond statements and commitments by directing meaningful capital towards farmers and agricultural enterprises.
He argued that financing agriculture at scale represents one of the most effective climate actions available to Nigeria and the wider West African region.
“The most meaningful climate commitment our financial sector can make this World Environment Day is not a statement. It is a willingness to finance the land that feeds us intelligently and at scale,” he stated.
