The International Finance Corporation (IFC) has announced two partnerships with Absa Bank Ghana Limited and Complete Farmer to expand access to finance across Ghana's agricultural sector and support smallholder farmers through financing and technology.
The partnership with Absa Bank Ghana will expand financing for Licensed Buying Companies to purchase cocoa from farmers throughout the buying season, helping sustain market access for more than 139,000 smallholder farmers. Cocoa is one of Ghana's most important export sectors, with nearly 800,000 registered cocoa farmers and millions of people depending on the sector for their livelihoods.
Supported by the Private Sector Window of the Global Agriculture and Food Security Program, the facility will finance purchases of traceable cocoa from farmers across Ghana. It will also support more sustainable farming practices aligned with the Paris Agreement on climate change.
The Managing Director of Absa Bank Ghana, Mr Edward Nartey Botchway, said Ghana's cocoa sector carries thousands of farming households and anchors the country's export economy. He said through the partnership with the corporation, the bank was financing Licensed Buying Companies to purchase traceable cocoa across the buying season, protecting reliable market access for farmers. He added that the bank believes its expertise and capital are at their best when working for the people who feed the economy and for a cocoa value chain that is productive, sustainable and resilient.
The corporation is also partnering with Complete Farmer, a Ghanaian agricultural technology company whose digital platform connects farmers with buyers, financial institutions, input suppliers and agricultural service providers. The support will help Complete Farmer connect more smallholder farmers with financial institutions. The partnership is expected to expand and provide support to 240,000 farmers, including facilitating access to finance by 2030.
The Chief Executive Officer of Complete Farmer, Mr Desmond Koney, said the partnership was about making finance work better for farmers. He said too many farmers with the capacity to grow commercially still struggle to access the financing they need. He noted that over the years, the company had focused on building the technology, data and market infrastructure that makes it possible to better understand farmers, support their production and connect what they grow to real demand. He said the partnership with the corporation would allow the company to build on that foundation and scale its input financing model so that more farmers have the resources and support they need to grow sustainably and participate more meaningfully in agricultural markets.
Through the Absa Bank Ghana partnership, the corporation and the Private Sector Window of the Global Agriculture and Food Security Program will provide up to US$50 million in an unfunded risk participation facility, enabling Absa Bank Ghana to extend up to US$200 million in financing to Licensed Buying Companies.
The Division Director for West Africa Gulf of Guinea at the corporation, Mrs Nathalie Kouassi Akon, said Ghana's agricultural sector can create more jobs and strengthen rural livelihoods when farmers and businesses have reliable access to finance, technology and markets. She said the partnerships address different gaps across the value chain, from financing cocoa purchases to helping farmers access inputs, services, finance and buyers. She added that together, they demonstrate how private investment can support a more productive and resilient agricultural sector.
The corporation, in partnership with BIFT, is also providing Complete Farmer with a US$2.4 million convertible loan to scale up and finance inputs and agronomy services for farmers, complemented by US$660,000 in advisory and grant support to strengthen its systems and capacity to expand farmer financing.
The partnerships support the World Bank Group's broader agriculture agenda in Ghana and the priorities of AgriConnect by mobilising private investment, strengthening food security and creating jobs. Together, they combine financing, technology and market access across Ghana's agricultural value chains, helping build a more productive and resilient sector.
Absa Bank Ghana Limited is one of Ghana's leading financial institutions and a subsidiary of Absa Group Limited, a diversified African financial services group listed on the Johannesburg Stock Exchange. With operations in 12 African countries and approximately 42,000 employees, Absa provides retail, business, corporate and investment banking and wealth management services.
Complete Farmer is an agricultural technology company building a connected agricultural ecosystem across Africa. Through technology, data and strategic partnerships, it provides a network of more than 72,000 farmers with access to the resources, support and markets they need to produce successfully, while enabling buyers to source quality agricultural produce more efficiently and reliably. With nine years of experience, the company operates across eight regions in Ghana, supported by eight fulfilment centres, with an active presence in Ghana and Togo.
The Private Sector Window of the Global Agriculture and Food Security Program is a flagship blended finance platform for mobilising private investment into smallholder-linked agribusinesses in frontier markets. Managed by the corporation and supported by the governments of Australia, Canada, Japan, the Netherlands, the United Kingdom and the United States, it provides long and short-term loans, credit guarantees, equity and technical assistance to private sector companies and financial intermediaries.