Alex Otti has reaffirmed his administration’s readiness to partner with the African Development Bank (AfDB) to co-finance the establishment of a Special Agro-Industrial Processing Zone (SAPZ) in Abia State.
The governor gave the assurance on March 2, 2026, while receiving an AfDB delegation led by Dr. Bernard Onzima at Government House. He emphasized that Abia is fully prepared to meet its financial obligations and create the enabling environment required for the project’s success, including access roads, power supply, and other critical infrastructure.
Governor Otti explained that the state government would work closely with the AfDB team to understand the specific requirements for inclusion in the second tranche of the SAPZ programme. According to him, Abia has already demonstrated its capacity to provide infrastructure support across several project locations and would not hesitate to fulfill its responsibilities under the proposed partnership.
The governor welcomed the bank’s interest in Abia and expressed satisfaction that the delegation had visited the proposed agro-industrial hub in Ukwa West Local Government Area. He noted that, beyond Ukwa West, the state possesses vast agricultural assets suitable for investment. These include Ukwa East, where Abia Palm operates under a memorandum of understanding with an international partner, as well as large tracts of land in Ikwuano, Umuahia, Ulonna, Bende, and Abam in Arochukwu, which host farm settlements and rubber plantations.
Governor Otti also appreciated the AfDB’s continued support for the Abia State Integrated Infrastructure Development (ABSID) project, revealing that the state recently paid its counterpart funding. He expressed optimism that the project would commence soon and stressed his administration’s commitment to deepening collaboration with the bank through the SAPZ initiative.
Speaking earlier, the AfDB team lead described the SAPZ programme as a flagship intervention designed to tackle downstream agro-processing bottlenecks across member countries. The initiative aims to reduce investment risks in agro-processing while strengthening value chains and boosting rural industrialization. Currently, the programme’s continental portfolio exceeds $1.2 billion.
For Tranche 2, AfDB plans to provide $200 million in financing to eight selected states, with an additional $150 million expected from the Islamic Development Bank as co-financing support. The pre-appraisal mission to Abia is part of the bank’s assessment of each state’s readiness, including site suitability, environmental and social safeguard compliance, and engagement with private sector partners to ensure long-term sustainability.
The AfDB delegation described the Ukwa West site as suitable and unencumbered, expressing hope that the Abia State Government would formally commit to co-financing the initiative.
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Abia State Commissioner for Agriculture, Dr. Cliff Agbaeze, highlighted Ukwa West’s strategic proximity to the Abia Industrial and Innovation Park as a major advantage. He added that the state plans to extend agro-industrial development efforts to Bende, Ikwuano, and other locations, positioning agriculture as a key driver of economic transformation in Abia.
With this renewed commitment, Abia State appears poised to strengthen agro-processing investments, enhance value addition, and create new opportunities for farmers and agribusiness operators across the region.