Kenya has become a focal point in addressing the financial challenges faced by smallholder farmers across Africa, hosting the African Development Bank (AfDB) and the Pan African Farmers Organization (PAFO) Conference in Nairobi. This significant event gathered key stakeholders, including government representatives, development partners, and industry experts, to explore innovative financial solutions aimed at empowering small-scale agriculture.
During his keynote address, Mutahi Kagwe, Kenya’s Cabinet Secretary for Agriculture and Livestock Development, underscored the vital importance of providing practical, inclusive financial support to smallholder farmers. He emphasized that these farmers play a pivotal role in the continent’s agricultural landscape, producing 70% of Africa’s food and serving as the foundation of its economy.
“Agriculture is the backbone of Africa, supporting the livelihoods of over 60% of the population and making a substantial contribution to GDP,” Kagwe stated. “Yet, small-scale farmers—who are essential to feeding our nations—often struggle to access the critical financial resources they need.”
Kagwe called for a major overhaul of agricultural financing models to better address the sector’s pressing needs. He stressed the importance of investing in critical areas such as soil testing, fertilizer accessibility, cold chain logistics, and agribusiness development. According to Kagwe, these investments are essential for transforming agriculture into a thriving, sustainable industry that can drive economic growth and enhance food security.
“By prioritizing innovative and practical financing approaches, we can unlock the full potential of agriculture as a driver of economic progress,” Kagwe noted. “Let’s commit to ensuring that no farmer is left behind in this transformation.”
The conference marked a significant step forward in finding solutions to the challenges smallholder farmers face and highlighted Kenya’s central role in driving conversations around financial support for agriculture across the continent.
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