East African agribusiness financing initiatives

Efforts to bolster agricultural financing in East Africa have centered on both national reforms and regional investment initiatives. In Uganda, the National Planning Authority (NPA) recommended reforms to the Agricultural Credit Facility (ACF) to improve oversight and inclusivity for micro and smallholder farmers. The NPA suggested that the Ministry of Finance, Planning and Economic Development implement stronger oversight of development finance institutions through standardized reporting and digital systems.

Concurrently, a regional $10 million financing package was launched by the International Fund for Agricultural Development (IFAD) and AgDevCo Ventures Limited. This initiative targets early-stage agribusinesses in Ethiopia, Kenya, Rwanda, Tanzania, and Uganda, with the goal of supporting up to 15 enterprises and creating approximately 2,900 jobs over 12 years. The program emphasizes a blended finance approach to attract private investment, specifically targeting women and youth who face credit barriers.

At the Africa Food Systems Forum in Rwanda, the National Agricultural Development Fund (NADF) noted that low investor confidence and institutional gaps remain significant obstacles. NADF Executive Secretary Mohammed Ibrahim stated that public capital should serve as a catalyst to mitigate risks and encourage larger commercial and development finance flows into the sector.