Breaking: Afreximbank to Unleash $310m Agribusiness Revolution for African SMEs - Here's How

The African Export-Import Bank (Afreximbank) has reinforced its commitment to supporting agribusiness across Africa, recognising its crucial role in driving economic growth.

The managing director of Export Development at Afreximbank, Oluranti Doherty highlighted the bank’s ongoing efforts to scale funding for small and medium-sized enterprises (SMEs) in the agribusiness sector, particularly, through its partnering financial institutions.

According to Doherty, the bank is committed to increasing access to finance for African farmers, who make up a significant proportion of the continent’s workforce. This commitment is in line with the bank’s strategy to enhance Africa's capacity to produce and export more value-added goods and services.

Afreximbank's renewed drive into agribusiness comes at a time when the African continent is facing significant challenges in feeding its rapidly growing population. With an estimated population of over 1.3 billion people, there is an urgent need to increase food production to meet the growing demand.

By making a $310 million fund available to African SMEs in the agribusiness sector, Afreximbank is taking a proactive step to address the challenges facing the sector. The fund will provide much-needed financing to SMEs in the agriculture sector, enabling them to scale up their operations and increase food production.

Furthermore, the fund will also support the development of agricultural value chains across Africa, creating jobs and income opportunities for millions of Africans in the sector.

As the continent’s largest bank in terms of asset size, Afreximbank's efforts in supporting agribusiness will go a long way in promoting economic growth and development across Africa. According to Doherty, the bank is committed to leveraging its financing, risk-bearing capacity and advisory services to help Africa achieve the ideal food security, using local farmers’ participation.

Afreximbank’s move to support African SMEs in the agribusiness sector is strategic and could potentially unlock the agricultural potential of the continent. As Africa continues to urbanise and economic transformation deepens, the demand for food and other agricultural products is expected to rise significantly.