(Ecofin Agency) - The development agency FMO made its first commitment of the year 2020 within the investment fund Acumen Resilient Agriculture Fund (ARAF) to provide financial and technical support to farmers in East and West Africa. In the two regions, ARAF will target agribusinesses and agricultural enterprises that develop innovative solutions to adapt to climate change.

The fund set up by the impact investment company, Acumen, will also finance firms that provide innovative financial services to farmers, enabling them to acquire agricultural inputs at affordable prices. According to FMO data, sub-Saharan Africa is home to about 50 million farmers who not only lack access to technical and financial support but also suffer from climatic variations.

With a target size of $50 million, Acumen Resilient Agriculture Fund supports early-stage agribusinesses in their growth process and climate change adaptation initiatives. The fund mainly targets companies in Ghana, Nigeria, and Uganda.

Chamberline Moko