A $50 million facility to help commodity traders in Sub-Saharan Africa import agricultural commodities and export cash crops
GAFSP’s Global Warehouse Finance Program (GWFP) lends or provides risk mitigation solutions to banks in low income countries which in turn provide lending to small farmers and small businesses. These loans are backed by the harvested goods farmers deposit in warehouses.
Signed under GWFP, this $50 million facility will first finance rice importers in Liberia, a country heavily impacted by the recent Ebola crisis. Food security is critical in Liberia, where the economy continues to suffer due to the effects of Ebola. Through the facility, IFC and GAFSP will provide risk mitigation to Nedbank to support lending to the agricultural sector against warehoused commodities. Nedbank will lend to rice traders in Liberia to ensure that food is delivered to the country without delay.