Agribusiness contributes about 25 percent of Africa’s GDP and a staggering 70 percent of its employment.
The continent is a top producer of many of the world’s best-loved products, including cocoa from Côte d’Ivoire and Ghana, vanilla from Madagascar, tea from Kenya, and fruits from South Africa.
Despite pockets of success, however, Africa’s agribusiness sector has hardly reached its full potential, with production struggling in some places to meet rising local and export demand or to compete efficiently in a global marketplace.
Africa needs large amounts of sustained investment—many billions of dollars annually—and easier access to markets and the latest tools and techniques to bring its agribusiness sector into the 21st century and transform it into a net exporter of commodities.
IFC, which views agribusiness as a strategic development priority in Africa, finances agribusiness and food-related companies on the continent and supports financial institutions that channel funding into agribusiness projects, including infrastructure development, or for seeds, fertilizers, or other inputs.
IFC’s financial support, whether through loans or equity, is coupled with advisory services that help clients strengthen their operations with a focus on productivity improvements, climate smart practices, food safety, and better engagement with smallholder supply chains.
To meet the needs of a population expected to more than double to 2.4 billion by 2050, Africa will need to invest heavily in its farmers—and the supply chains and infrastructure that supports them—today.