Mudavadi opens two-day conference to discuss agriculture financing in Kenya

Prime Cabinet Secretary and Cabinet Secretary for Foreign and Diaspora Affairs Musalia Mudavadi on Wednesday opened a two-day conference bringing together agricultural sector stakeholders to discuss financing the sector and appropriate models for funding agricultural activities in Kenya.

The Financing Agriculture Sustainably Conference (FINAS 2024) is organized by Rootooba in collaboration with the Ministry of Agriculture and allied development partners.

The forum aims to explore financing options for the agricultural sector, propose ways of accurately determining the level of agricultural financing and inform effective policies.

It will also provide a one-stop shop where small, medium, and large agricultural enterprises can interact with financing solution providers.

Mudavadi said Kenya is ready for a remodelled financing mechanism that promises better days for the Agricultural sector.

“Our country's fourth medium-term plan 2023-2028 which was officially launched last week by President William Ruto outlines the key policies, programmes and projects that the government plans to implement to support the growth and transformation of this important sector of our economy,” he said.

He noted that among the plan’s priority projects is the agricultural and rural financial inclusion project, which aims to enhance access, efficiency and stability of agriculture and rural finance.

The conference director Kawira Mutegi noted that the conference will serve as a platform for robust discussions on innovative financing mechanisms, technological advancements, and policy frameworks aimed at bolstering sustainable agricultural practices.

“Kenya's agricultural sector plays a pivotal role in the country's economy and livelihoods of millions, it is imperative to explore avenues for sustainable growth while addressing challenges such as climate change, food security, and economic resilience and ready the agricultural sector for business,” said Dr Mutegi.

Agriculture Cabinet Secretary Mithika Linturi on his part said; “The outcomes of the FINAS 2024 conference are expected to be a validated resource for the government and private sector to enable design and planning for resourcing initiatives in the agricultural sector.”

Agriculture is the largest contributor to Kenya’s gross domestic product (GDP) and employs more than 40 per cent of the total population and 70 per cent of the rural Kenya population.

However, there have been concerns about underfunding in the sector.