Africa Fertilizer Financing Mechanism Governing Council praises special fund, administered by the African Development Group, for innovative financing solutions to boost fertilizer use and agricultural productivity in Africa and echoes call for more financing for the continent's fertilizer sector.

During its last meeting in March, the Governing Council specifically commended the Africa Fertilizer Financing Mechanism for expanding its trade credit guarantee scheme targeting private importers, blenders, wholesalers and distributing companies in need of investment capital.

"We stand proud of the approval of four new trade credit guarantees in Kenya, Mozambique, Tanzania, and Uganda! Let this be a testament to our collective efforts," said meeting chairperson and African Union Commissioner for Agriculture and Rural Development, Josefa Leonel Correia Sacko.

The Council supported calls for more funding for the Mechanism so that it plays a larger role in the sector. It encouraged benefiting from high-level events such as the Africa Fertilizer and Soil Health Summit scheduled for 7-9 May 2024 in Nairobi, to mobilize resources for the fertilizer sector and renewed financial commitments from Bank members for the Mechanism.

Expected to attract 1500 participants including heads of state and ministers, the Africa Fertilizer and Soil Health Summit will also endorse a 10-year fertilizer and soil action plan and the Nairobi declaration on fertilizer and soil health.

"The importance of fertilizer financing in achieving our shared aspirations cannot be overstated. The upcoming Africa Fertilizer and Soil Health Summit presents yet another opportunity to advance our collective goals - bridging the supply gap of fertilizers in Africa and contributing to a flourishing agricultural landscape," said Dr Martin Fregene, the Bank's Director for Agriculture and Agro-Industry.

The Council congratulated the Mechanism's Secretariat for its efforts throughout last year. It also endorsed the Mechanism's 2023 annual report and its 2024 work program and budget, and reviewed the Africa Fertilizer Financing Mechanism's evaluation report analyzing the status of financing, of needs, availability, gap, potential sources of additional funding and channeling mechanisms in selected African regions. Carried out by independent bodies, evaluations provide credible findings.

Governing Council members include representatives of the African Union Commission, African Ministers of Agriculture, African Development Bank, International Fund for Agriculture Development, the Food and Agriculture Organization, African Export and Import Bank, United Nations Economic Commission for Africa, the Alliance for a Green Revolution in Africa, of donors, the International Fertilizer Development Center, the International Fertilizer Association, farmers' organizations, and the Africa Fertilizer Financing Mechanism.