What's Happening?
EIB Global, the international partnerships arm of the European Investment Bank, has partnered with Zambia Industrial Commercial Bank Ltd (ZICB) to mobilize €30 million for Zambia's agricultural sector.
This agreement, announced at the EU-Zambia Lobito Corridor Business Forum, aims to support private sector development by providing finance to agri-food SMEs and smallholder producers. The initiative is part of the EU-funded Agri Value Chain Facility, which includes long-term funding, risk-sharing, and technical assistance to enhance the agricultural value chain.
Why It's Important?
The partnership is crucial for Zambia's agricultural sector, which is a significant contributor to the country's GDP and a key driver for poverty reduction and food security. By facilitating access to finance and markets, the initiative supports the growth of agri-food SMEs and smallholder farmers, promoting sustainable livelihoods and job creation. The focus on gender-responsive lending strategies also addresses the financial challenges faced by women-led businesses, enhancing their participation in the agricultural economy.
