Nairobi: The Financing Agri-Food Systems Sustainably (FINAS) conference 2025 has officially kicked off today at the Kenyatta International Conference Centre (KICC) in Nairobi. The conference has gathered an array of African and international stakeholders under the theme 'Taking Ownership: Rethinking Sustainable Financing for Africa's Food Systems'. Scheduled to run from May 20th to 22nd, 2025, the event aims to address key challenges facing the agricultural sector in Africa.
According to Kenya News Agency, Cabinet Secretary for the Ministry of Agriculture and Livestock Development, Mutahi Kagwe, emphasized the significant financing gap that African farmers, particularly smallholders, face, which is estimated to be between USD 60 to 100 billion annually. Kagwe pointed out that in Kenya, only three percent of the commercial banks' loan book, valued at USD 49 billion in 2023, was allocated to the agricultural sector. He urged financial institutions to innovate and adapt to the complexities of farming as a business, highlighting the potential of agri-fintech solutions offering services like weather-based crop insurance and digital loans.
East African Community Secretary General, Veronica Nduva, highlighted the critical role of the agri-food systems value chain in the economies of the EAC Partner States. She noted that digitalization in agricultural financing can enhance efficiency, reduce costs, and increase accessibility for farmers. Nduva mentioned the East Africa Regional Digital Integration Project (EARDIP) as a key initiative aiming to improve digital infrastructure and facilitate cross-border transactions, with a focus on boosting production, processing, storage, and marketing of agricultural products.
African Union Commissioner for Agriculture, Rural Development, Blue Economy, and Sustainable Environment, Moses Vilakati, stated that FINAS 2025 is pivotal for implementing commitments under various agreements, including the Kampala CAADP Declaration of January 2025. He stressed the necessity of transforming food systems and the need for innovative financing mechanisms that promote investments, sustainability, and empower smallholder farmers, especially women and youth.
The conference has attracted participation from a broad spectrum of stakeholders, including farmers, entrepreneurs, digital innovators, private sector representatives, and government officials from national and regional bodies. Key partners in this dialogue include Kenyan ministries, GIZ, AGRA, FSD Kenya, Aceli Africa, Finance in Motion, the Africa Development Bank, Netherlands Food Partnership, Transformational Investing in Food Systems (TIFS), Heifer International, Digifarm, and various financial lending institutions.
Over the course of three days, the conference will explore crucial aspects of transforming Africa's agri-food systems, addressing the financing gap, and fostering innovative solutions for resilient and inclusive agricultural growth on the continent. The summit will officially conclude on May 22nd, 2025, with the closing ceremony led by the Cabinet Secretary for Co-operatives and Micro, Small and Medium Enterprises (MSMEs) Development, Wycliffe Oparanya.