AFC
The Agricultural Financial Corporation (AFC) has launched its 2023-2027 Strategic Plan which aims to provide sustainability and enhance productivity that will shape the vision for the future in the agricultural sector.
The Cabinet Secretary (CS) for Agriculture and Livestock Development Hon. Mithika Linturi said that the AFC fully supports the transformation of Kenya’s agricultural landscape hence launching the strategic plan will help in increasing Agricultural vital growth in Kenya’s economy which not only does it significantly contribute to the country’s Gross Domestic Product (GDP), but also sustains livelihoods of millions particularly those in rural areas.
Linturi mentioned that agriculture directly contributes about 25percent of Kenya’s GDP in addition to 27percent which directly and indirectly supports other economic sectors like manufacturing. Further, the CS pointed out that Agriculture employs 40 percent of the country’s population and therefore it is imperative to continue investing in this sector to ensure its growth and sustainability.
“AFC has been instrumental in the development of agriculture at an average of 26 percent in the total credit sectors since independence. The corporation has participated in various agricultural development programs funded both by Government and government development funds,” stated Linturi.
He appreciated the government for supporting AFC by recognizing President Ruto for funding the Corporation with Kshs 1 billion which will enhance financial access in the AFC as highlighted during the recent Madaraka Day celebrations in Bungoma County.
In a speech read on his behalf by the Principal Secretary for Livestock Development Jonathan Mueke, the CS revealed that the government has collaborated with Exim Bank to provide Kshs 15 billion to AFC and this again will also support Corporation to enhance its agriculture mechanization agenda providing farm inputs to farmers at a very low rate.
“This AFC Strategic Plan 2023-2027 underscores our commitment as a Ministry to develop Kenya’s Agriculture and Livestock sector,” he stressed. Linturi noted that AFC’s various objectives include increasing agricultural productivity and promoting climatic change, climatic smart, agricultural sustainable practices and improving access to finance farmers.
He at the same time cited financial inclusion as one of the AFC pillars of the strategic plan insisting that the Ministry understands that to transform the agricultural sector, technologies and practices to increase efficiency, reducing cost and improving productivity must be embraced.
Additionally, he observed that through the plan, the Ministry is ready to support AFC in creating an enabling environment for innovation and entrepreneurship culture. “The AFC Strategic Plan also comes at a crucial time by providing tenure financial solutions, empowering farmers, agribusiness thus enhancing and improving good security,” noted Linturi.
The CS also appreciated AFC for its continuing efforts in supporting the agricultural sector since the Corporation’s financial products and services have significantly impacted the lives of many Kenyans where he expressed confidence that the strategic plan will build upon this success and propel AFC to greater heights.
He urged AFC to work closely with the Ministry of Agriculture and Livestock Development and other government agencies, financial institutions, the private sector and other organizations terming collaboration as the key to success. “Together we can create a more vibrant and prosperous agricultural center of Kenya” voiced the CS as he appealed to those who owe AFC to pay up their debt so as to enable the Corporation to continue with its operation.
Linturi urged every stakeholder to join hands with the Ministry in this global endeavor in working towards transforming the agricultural sector and improving the livelihoods of all famers.