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Mobilizing Private Capital Towards Agri-SMEs: Experiences from Africa

Bridging the investment gap in agriculture and food systems is critical to achieving the 2030 Agenda. In this context, improved access to finance is a precondition to strengthen the investment capacity of all actors in agrifood value chains – farmers and small and medium enterprises (SMEs). Traditionally, these actors are a challenging market for financial institutions – notably commercial banks. This is due in part to the risks associated with financing agriculture, and in part to the specific risks and costs associated with serving a geographically dispersed, at times remote rural population.