(Ecofin Agency) - The Kenyan government plans to release up to KSh1.5 billion (about $14.1 million) to support the Agricultural Finance Corporation (AFC) over three years.
Local media reports the strategy is part of a program initiated by the Ministry of Finance to inject the same amount in each of its strategic public entities. The first tranche of KSh500 million will be disbursed during the FY2020-21, the second and the third of the same sum will come in FY2021-22 and FY2022-23.
This investment will support a sector that sustains about 80% of the Kenyan rural population. AFC says it intends to team up with other investors to increase the volume of loans and guarantees granted to its customers.