[[{"type":"media","view_mode":"media_original","fid":"726","attributes":{"alt":"","class":"media-image","height":"368","typeof":"foaf:Image","width":"610"}}]]The world’s leading agricultural and food financial institution, Rabobank, has committed to a five year partnership that will fight global hunger. Rabobank will provide US$135 million in loans over five years to small and medium sized agricultural businesses in the West African region, as part of the New Alliance for Food and Security. The initiative was announced at the G8 summit on 18 May by US President Barack Obama; it is a shared commitment between governments and private companies to achieve sustained and inclusive agricultural growth in Africa over the next ten years. The Netherlands-based bank is the largest co-operative backer and has entered into partnership with the International Finance Corporation to create the West African Agribusiness Development Corporation (WAAD). Berry J. Marttin, Member of the Executive Board, Rabobank, Netherlands, said: “Our responsibility is to get farmers, to get governments, get everybody who is interested in organising in such a way that they have to understand what has to be done to be able to be successful. “And the reason is, you see how senior levels of government, also senior levels of companies and senior levels of farmers' organisations — and they are starting to see the light and see that we have to change and we have to do it in a different way.” Rabobank is one of 45 organisations to commit to the initiative, which plans to invest US$3 billion to strengthen areas across the agricultural chain, including irrigation, processing, trading, financing and infrastructure, which will impact millions of smallholder farmers. President Obama said: “I can announce that 45 companies — from major international corporations to African companies and co-operatives — have pledged to invest more than $3 billion to kick off this effort. And we’re also going to fast-track new agricultural projects so they reach those in need even quicker." The scheme will initially operate in Ghana, Nigeria and Cote d'Ivoire, but has been designed to expanded into other countries. At the Grow Africa Investment Forum in Ethiopia last month, Dyborn Charlie Chibonga, Chief Executive, National Smallholder Famrers' Association of Malawi said: “I have a passion for smallholder farmers because I believe that smallholder farmers are the hope for the future. “But for smallholder farmers to be able to come out of subsistence production; to take famine as business, we need vision and leadership; we need the stability politically and economically, and we need conducive policy environments that will be there to create the PPPs that are necessary.” WAAD is based on the proven concept in Latin America (LAAD), which has been successful in agri-finance for more than 40 years. Over these 40 years, LAAD has successfully realised its mission while showing increasingly healthy financials, generating over 120,000 new jobs in mainly rural areas. Other co-operatives pledging support include ADMAS Farmers Cooperative Union, Ethiopia; Becho‐Weliso Farmers Cooperative Union, Ethiopia; and Oromia Coffee Farmers Cooperative Union, Ethiopia. Picture: Barack Obama launches the global initiative (Credit: The Chicago Council on Global Affairs)
