The African Green Revolution Forum (AGRF) in Nairobi, Kenya saw major development institutions, the private sector and African leaders pledge US $30 billion to support investments in order to increase production and income for smallholder farmers and local African agriculture businesses over the next decade.
A session on “Making Political, Policy and Financial Commitments to Africa’s Agricultural Transformation” saw Kenya’s President, Uhuru Kenyatta, pledge US $200 million to support 150,000 young farmers and agricultural entrepreneurs to access markets, finance and insurance over the next five years.
The African Development Bank (AfDB) announced investments of US $24 billion in the coming decade to drive Africa’s agricultural transformation. “This is a 400% increase in financing to the agricultural sector by the Bank from its current levels of $600 million per year,” Chiji Ojukwu, Director of the Bank’s Agriculture and Agro-industries Department, remarked on behalf of Bank President Akinwumi Adesina.
The Africa Agriculture Status Report 2016, launched at the AGRF, highlights the importance of private-sector investment in all aspects of agriculture, such as inputs, as well as the agricultural value chain, including production, processing, marketing and transport.
A fertilizer firm, OCP Africa, committed to investing US $150 million over the next five years to support local fertilizer distribution, storage and blending, while the World Food Programme promised to purchase at least US $120 million each year in agricultural products from smallholder farmers through a partnership called the Patient Procurement Platform.
The Bill and Melinda Gates Foundation pledged US $5 billion, while the International Fund for Agricultural Development pledged US $3 billion. The Rockefeller Foundation committed to contributing US $180 million, while the Kenya Commercial Bank, East Africa’s largest commercial Bank will invest US $350 million in loans for smallholder farmers. AfDB, through its Affirmative Finance Action for Women (AFAWA), will help to leverage US $3 billion for women farmers and entrepreneurs.