By Joyce Ojanji
With Africa’s food market expected to grow by about 10 percent, reaching an estimated market value of US$1 trillion by 2030, addressing issues that hinder the sector’s growth is crucial, including inadequate access to finances by farmers and unhealthy soils.
This is according to experts at the 8th Africa Agri Expo, which was held from February 19th to 20th in Nairobi, Kenya’s capital. The Expo was themed “Shaping the future of food, livestock, and poultry in Africa.”
George Kubai, the Managing Director of the Agricultural Finance Corporation of Kenya speaking during the two-day prestigious conference, noted that despite agriculture being the backbone of many African economies and also employing over 60% of the population, farmers still experience a lot of sector struggles with limited access to financing.
“This financing gap, which is estimated to be over $100 billion annually, severely restricts farmers’ ability to acquire input, modern technology, and climate resilient strategies,” he said.
Kubai noted that in Kenya, like many other African countries, agriculture receives only a small fraction of bank lending, leaving many smallholder farmers to rely on costly informal credit sources. Breaking this gap is crucial for unlocking Africa’s full agricultural potential and fostering food security and economic growth.
He said that innovative financial solutions are emerging to address such challenges. Digital lending platforms are revolutionizing access to credit through mobile technology and value-chain financing.
Other emerging financial approaches include risk mitigation instruments such as agricultural insurance, blended financing models that combine public and private investments, and sustainable finance mechanisms like green bonds and impact investments. Such innovations boost productivity and support environmentally sustainable practices, ensuring that agricultural finance contributes to a resilient future renewable sector.
“The goal here is to create a robust financial ecosystem where innovative products and partnerships drive inclusive growth and ensure that no viable and potential project fails for lack of financing,’’ he noted.
“Looking forward, the vision is very clear, an agricultural sector that is not only sustainable and productive but also inclusive and resilient. Achieving this vision will of course require the collective efforts of financial institutions, technology providers, policymakers, and most importantly, the farmers themselves.”
Recognizing soil health as an issue hindering agricultural productivity in Africa, Bridget Okumu, Country director, the International Fertilizer Development Center, said that maintaining soil health requires a collaborative approach, one that harnesses the strengths and expertise of diverse stakeholders.
“Farmers are the stewards of our soils. By working together with farmers, governments, agronomists, researchers, non-governmental organizations (NGOs) and the private sector, farmers will adopt the best practices for soil management, such as crop rotation, cover crops and even reduced tillage,” she said.
Okumu noted that government support is essential for promoting soil-friendly practices while collaborative research is needed to develop effective regulations and incentives that encourage adoption.
She added that the private sector, on the other hand, should create market products that improve soil fertility without causing harm, while NGOs and other development organizations should work with local communities to implement sustainable soil management initiatives.
She said that by fostering collaboration across sectors, Africa can develop and implement sustainable soil management practices that ensure long-term productivity and resilience of soils for the future of the planet.
The two-day conference brought together leading agriculture enthusiasts, innovators, and stakeholders and provided a platform for networking, showcasing cutting-edge agricultural technologies, and driving transformative growth in Kenya and Africa’s agricultural sector.
