The increasing role of banks in agribusiness

Nairobi, Kenya: The agricultural sector, one of Kenya’s key drivers of economic growth, is increasingly becoming a focus area for both commercial activity, as well as policy consideration. This is the case not only domestically but also within the region and across the continent.

“Africa now earns an average of 24 per cent of its annual growth from its farmers and their crops. If matched with more electricity and irrigation, smart business and trade policies and a dynamic private agribusiness sector that works side by side with government to link farmers with consumers in an increasingly urbanized Africa, the World Bank estimates that agriculture and agribusiness together could command a US$ 1 trillion presence in Africa’s regional economy by 2030,” cites the report titled Growing Africa: Unlocking the Potential of Agribusiness (January 2013).

With this economic potential, the role of financial sector players enabled by an adequate policy regime to unlock more opportunities in the agribusiness value chain cannot be overemphasised.