Agriculture holds the key to economic recovery in Africa.
The African Development Bank predicts the sector will generate $1 trillion in earnings by 2030.
There is therefore a need to undertake bold agricultural reforms that leverage smallholder farmers, directing investments towards the sector.
A 2022 Alliance for a Green Revolution in Africa study titled Africa Agribusiness Outlook listed access to financial services at 67 percent, infrastructure (transport, water, storage, and electricity) at 59 percent and policy, the legal and regulatory environment at 54 percent, among the three main hurdles facing agriculture in the continent.
Of the three hurdles, unlocking the policy framework and taking action that prioritises women and youth is critical to spurring agricultural production.
While many businesses in the agricultural sector face many challenges, those that are women-led face enormous and complex challenges that make it almost impossible to operate.
According to the International Finance Corporation, the rationale for addressing gender equality in agribusiness value chain development is compelling, as there is mounting evidence that gender-smart solutions in agribusiness can increase the sector’s productivity and profitability and lead to stronger, more integrated value chains.
Productivity
If women are provided with equal job opportunities within the sector, productivity is likely to increase.
Intervening policies must address challenges hindering equal opportunities for women and the youth in the sector.
Governments and the private sector must deliberately start crafting policies that are favourable to women in the agribusiness sector to enable them to realise their full potential and help in the creation of job opportunities for young people, especially women.
Enterprise growth
Consequently, the Mastercard Foundation Fund for Resilience and Prosperity, a seven-year, $126 million fund, aims to support small and medium-sized enterprises (SMEs) across the agribusiness, climate and digital sectors, in 20 countries in sub-Saharan Africa.
The main objective of the fund is to unlock enterprise growth, catalyse, scale-up and sustain the creation of dignified and fulfilling employment opportunities for young women and men.
The fund has launched an Agribusiness Challenge Fund, calling for proposals from SMEs in the agricultural sector that can create work opportunities at scale for young people, especially young women.
The author is the Mastercard Foundation Fund for Resilience and Prosperity Portfolio Lead KPMG East Africa
