Minister of Agriculture and Food Security Aliyu Abdullahi announced on 21 August last year that the Government of Nigeria has decided to integrate an agricultural insurance mechanism under the National Agricultural Growth Scheme Agro-Pocket (NAGS-AP).

Agriculture contributes 22.7% to GDP and employs around 38% of the workforce in Nigeria. The NAGS-AP is a program that aims in particular to strengthen agricultural productivity by promoting better access to inputs for smallholder farmers. This program is funded by the African Development Bank style="font-family: "Bookman Old Style”, "serif"> (BAD) to the tune of $134 million. The minister emphasized the threat posed by the various risks associated with agricultural sectors. Notably, ginger producers in Kaduna State reported financial losses estimated at $8.7 million style="font-family: "Bookman Old Style”, "serif"> in 2023 due to the outbreak of a fungal disease that reduced harvests by 90%.