Recent international news has been marked by a collaboration between Norway and the United States of America aimed at supporting the development of the agricultural sector in Africa. The two countries agreed to release an envelope of 70 million dollars for the creation of a fund dedicated to this objective. This initiative aims to support small and medium-sized agricultural enterprises (agri-SMEs), small farmers and job creation in the private sector.
The decision was announced during the 78th session of the United Nations General Assembly in New York. Samantha Power, USAID Administrator, and Beathe Tvinnereim, Norwegian Minister for International Development, presented details of this ambitious plan. The two countries hope to raise a total of $200 million through additional contributions from other donors.
The financing provided by this fund will support financial institutions to improve access to commercial financing for agri-SMEs by reducing investment risks. It aims to close the financial gap estimated at $100 billion to meet the unmet demand for agri-SME financing in Africa.
This collaboration between Norway and the United States is of particular importance because it occurs in a context where hunger remains a major problem on the African continent. According to the latest United Nations report on the state of food security and nutrition in the world, nearly 281 million people in Africa are undernourished, or almost 20% of the population. It is therefore crucial to support the development of the agricultural sector to face this challenge.
This fund will contribute to the creation of jobs and the improvement of living conditions in rural communities in Africa. By supporting agri-SMEs and small farmers, it will also promote economic and food resilience in these regions.
This joint initiative between Norway and the United States demonstrates the importance of international cooperation to address global challenges such as food insecurity and the fight against poverty. Thanks to this fund, concrete projects can be supported, and the hope is to see a positive transformation emerge in the agricultural sector in Africa.
In conclusion, the collaboration between Norway and the United States to create a fund aimed at developing the agricultural sector in Africa is an important step in the fight against hunger and poverty on the continent. This funding will support agri-SMEs and smallholder farmers, thereby promoting job creation and economic resilience in rural areas. It also illustrates the importance of international cooperation to address global challenges and build a better future for all.