Floods, Drought… African Farmers Soon to Be Insured to the Tune of $1 Billion
By Inès Magoum
More than 40 million farmers in Africa could soon benefit from financing to manage the risks to their crops from climatic phenomena such as floods and drought. The African Development Bank (AfDB) recently announced the creation of the $1 billion African Climate Risk Insurance Facility for Adaptation (ACRIFA). The funds will be allocated to farmers in the form of concessional loans, high-risk capital or grants.
The year 2023 ended with good news for farmers in Africa. They should now benefit from financial support from the African Development Bank (AfDB) to help them manage the risks associated with climate shocks to their production. On 3 December 2023, the financial institution presented its plan to create the $1 billion African Climate Risk Insurance Facility for Adaptation (ACRIFA), which aims to provide insurance against the severe consequences of climate change to more than 40 million farmers across the continent.
Photo courtesy of United Nations Photo.