Ministry of Agriculture, Banking Sector Push to Expand Agricultural Financing
Alusine Ahmed Kargbo The Ministry of Agriculture and Food Security (MAFS), in collaboration with the Bank of Sierra Leone (BSL) and the United Nations Capital Development Fund (UNCDF), is strengthening efforts to expand agricultural financing and attract private-sector investment to Sierra Leone’s agricultural sector.
The initiative was highlighted at a high-level Banking Executives’ Roundtable held at the Radisson Blu Hotel in Freetown, bringing together commercial banks, microfinance institutions and development partners, including the European Union, to explore practical ways of improving access to finance for farmers and agribusinesses.
Discussions focused on financing opportunities across key agricultural value chains, particularly rice, poultry and onions, covering activities from agricultural inputs and production to processing, storage and trade. Participants also examined measures to address barriers to affordable financing and encourage greater participation by financial institutions in the sector.
A major focus was the EUR 6 million Matching Grant Facility under the European Union-funded Salone Access to Finance programme. The facility combines commercial loans with grant support to reduce borrowing costs and improve access to financing for eligible businesses.
Participating financial institutions, including Vista Bank and Safe Capital Microfinance, shared their experiences in implementing the facility. They emphasised the importance of sound financial records, viable business plans and reliable business operations in helping farmers and agribusinesses access financing.
Minister of Agriculture and Food Security, Dr Henry Musa Kpaka, called on banking executives to identify incentives and policy measures that could stimulate greater investment in agriculture. He stressed the need for stronger collaboration between government and financial institutions to unlock financing opportunities and support agricultural development.
Governor of the Bank of Sierra Leone, Dr Ibrahim Stevens, reaffirmed the Bank’s commitment to fostering a financial environment that encourages increased lending and private-sector investment in agriculture.
The roundtable supports the Government’s Feed Salone initiative, which seeks to increase domestic food production, strengthen agricultural value chains and improve food security. It also reinforces cooperation among government, financial institutions and development partners to mobilise investment, strengthen agribusinesses and promote a more productive and commercially viable agricultural sector.
The Ministry’s engagement with financial institutions and development partners forms part of broader efforts to improve access to finance, expand agricultural investment and advance food security in Sierra Leone.