An investment initiative worth US$67.43 million announced by the International Fund for Agricultural Development (IFAD) would help 78,000 rural households in Zimbabwe who are particularly vulnerable to food insecurity and economic hardship.
As part of the Smallholder Agriculture Cluster Project (SACP), the small-scale farming industry will be transformed and farmers will have more access to market-oriented and climate-sensitive value chains.
Rural micro-firms and value chain lead enterprises that may take advantage of enhanced access to assets and prospects for agricultural output will be supported by technical assistance, matching funds, and infrastructure expenditures.
Over half of the recipients will be female, with at least one-third of the beneficiaries being under the age of thirty.
The $35.69 million loan from IFAD is helping to fund the project. There is domestic co-financing of US$8.8 million: US$4.6 million from the Zimbabwe government and US$4.2 million from the recipients themselves.
One-hundred and seventy-two thousand dollars more will come from OPEC’s International Development Fund and the private sector.
Rehabilitated roads and better irrigation access will make small-scale agriculture more commercially viable and attract the private sector, all of which will benefit participants in the project.
With the correct investments, small-scale farmers and other rural residents may have a significantly greater impact on economic growth, job creation, food security, nutrition, and climate change than they presently do.
“We have an opportunity to make a lasting difference in the lives of rural Zimbabweans by investing in the small-scale farmers who influence the sector and can play a critical role in job creation and addressing the country’s food and nutrition insecurity,” said Jaana Keitaanranta, IFAD Country Director for Zimbabwe.
SACP will be incorporated in five provinces – Mashonaland East, Mashonaland Central, Mashonaland West, Midlands, and Matabeleland North – and will focus on critical urban-rural agricultural production and food trading corridors, with the goal of increasing the role of small-scale farmers and the private sector.
Agriculture is critical to Zimbabwe’s economic development, food security, and poverty alleviation measures. A decade ago, the sector accounted for around 20% of the Gross Domestic Product of the country (GDP).
This has consequently fallen to around 10% in recent years, with 70% of the population subsisting on agriculture. Small-scale farmers are important to the sector’s success, as they own the vast bulk of agricultural land.
Unfortunately, recurrent droughts, insufficient and variable rainfall, sporadic flooding, and the current COVID-19 pandemic have all had an adverse effect on productivity. This has subjected millions of people to poverty, food insecurity, and malnutrition, making the country a net food importer and one of the world’s top ten most vulnerable countries.
Zimbabwe’s government has executed a number of development initiatives aimed at revitalizing the economy, but more has to be done to enhance agriculture and offer sustainable livelihoods for rural impoverished people.
Since 1983, IFAD has supported seven rural development programs and projects in Zimbabwe totaling US$328.03 million, including a US$125.71 million investment by IFAD. These programs and initiatives impacted directly 1,246,240 rural households in Zimbabwe.
