Annual Report shows 2022 activities directly benefited 90,000 smallholder farmers
CFC investments in 2022 contributed to rising incomes and greater economic security for around 90,000 smallholder farmers, as we continued to support sustainable and equitable supply chains.
In another challenging year characterised by rising prices and geopolitical uncertainty, our investment has played a crucial role in enabling agribusinesses to expand their capacity and build a platform from which smallholders can lift themselves out of poverty.
Figures revealed in our 2022 Annual Report show across our portfolio farmers benefited from net additional incomes of up to USD 2,750, while our investments helped to open up 1,865 hectares of land for cultivation. 2022 also saw the approval of a record 13 new investments by our Executive Board.
Our portfolio currently consists of 41 active investments in agribusinesses and organisations that are committed to creating sustainable economic opportunities where they are needed most, across Africa, Asia and Latin America. Over the full length of their terms, these investments are expected to benefit 440,000 farmers, 31% of which are women, and raise incomes by up to USD 5,550.
Of the USD 34.1 million of outstanding investment in our current portfolio, 32.5% will be allocated to least developed countries, where the struggle to access financing for small and medium-sized enterprises (SMEs) is particularly acute.
CFC Managing Director Amb. Sheikh Mohammed Belal said: “As our Annual Report shows, we have supported agribusinesses across our portfolio to weather the storms of 2022, while approving 13 new investments. But the overwhelming demand for our services, with more than 500 applications for our financing last year, shows we could do more. That is why I’m excited about the potential of our ACT Fund (Agricultural Commodities Transformation Fund), which we have established to attract funding from both the public and private sector. Despite the challenges I am confident we have put the CFC in a strong position to drive greater positive change throughout 2023 and beyond.”
Alongside our impact highlights, the Annual Report explores how our work, and the work of our partners, is creating economic opportunity and supporting sustainable development where it is most needed.
This includes a feature examining the potential of nutraceuticals to reduce commodity dependence in landlocked least developed countries, an article discussing the benefits of the African Continental Free Trade Area (AfCFTA) and a detailed look at our ACT Fund.
Also included is a guest article – All In On Millets? – provided by the Netherlands-based Royal Tropical Institute which focuses on how millets can enhance food security. Millets are nutritious, climate resilient grains and 2023 has been declared the International Year of the Millet by the United Nations, following a proposal by India.
To read our 2022 Annual Report and discover more about our continued fight for a sustainable, fairer future click here.