African Development Bank seeks to improve Kenyan farmers’ access to fertilizers
The African Development Bank announced on Friday that the Africa Fertilizer Financing Mechanism (AFFM), which it manages, has pledged to improve Kenyan farmers’ access to fertilizers.
The bank said that the AFFM will provide a $2mn partial trade credit guarantee and a $219,000 grant to Apollo Agriculture. The funding will assist the Nairobi-based company in selling fertilizer through a network of 150 retail agro-dealers and 800 village-based agents.
The African Development Bank indicated that between 2024 and 2026 the scheme will facilitate the distribution of over 7,000 tonnes of fertilizers to approximately 100,000 smallholder farmers in the country.
It said the initiative will increase food production, boost farmers’ income, and create new agricultural jobs.
Kenya has historically relied on Russia for a significant proportion of its fertilizer imports. Since Moscow’s invasion of Ukraine in February 2022, fertilizer prices in the East African country have risen by around 30%.
This market turbulence has created additional challenges for small-scale farmers, who often have to resort to informal credit arrangements and microfinance to purchase fertilizers.