In a momentous gathering filled with optimism and strategic foresight, the Corporation launched its ambitious 2023-2027 Strategic Plan on June 20, 2024, at Safari Park Hotel. The event was graced by the Principal Secretary for Livestock Development, Hon. Jonathan Mueke.
In his speech delivered by Hon. Jonathan Mueke, the Cabinet Secretary for Agriculture, Livestock Development, Hon. Mithika Linturi, highlighted AFC’s significant role in the agricultural sector, providing an average of 26% of the total credit to the sector since independence.
“The Corporation has participated in various agricultural development programs funded both by the Government and its development partners. This is why the Kenyan government has decided to extend more support to the Agricultural Finance Corporation,” said Linturi.
“This AFC Strategic Plan 2023-2027 aligns with our Ministry’s commitment to developing Kenya’s agriculture and livestock sectors. It supports our vision of increasing agricultural productivity, promoting climate-smart agriculture, sustainable practices, and improving access to finance for farmers.” added Linturi
Hon. Linturi encouraged AFC to forge strong partnerships with the Ministry of Agriculture and Livestock Development, other government agencies, financial institutions, the private sector and organizations, emphasizing that collaboration is crucial for success.
“Together, we can cultivate a more vibrant and prosperous agricultural sector in Kenya. I urge debtors to settle their dues promptly to ensure the Corporation’s uninterrupted operations.” emphasized Linturi.
Managing Director George Kubai elaborated on the Strategic Plan 2023-2027, outlining the Corporation’s strategic direction to sustain its pivotal role in providing affordable credit for Kenya’s agricultural sector.
“The Strategic Plan aims to enhance financial inclusion, increase agricultural productivity, and promote sustainable practices among farming communities. Key focuses include providing affordable credit for smallholder farmers, capacity, building programs for modern farming techniques and improving market access.
“Aligned with Kenya’s Bottom-Up Economic Transformation Agenda (BETA), the Strategic Plan emphasizes grassroots economic development and food security,” said Kubai.
The MD highlighted AFC’s mission to address national farming challenges, stating the Corporation’s commitment to enabling every farmer to thrive. He pledged to integrate climate-resilient practices and focus on smallholder farmers, youth, and women in agriculture to maximize impact. He further announced plans to upscale the wholesale lending model to 65%, with the remaining 35% dedicated to retail lending.
AFC Board Chairman Eng. John Mruttu underscored the 2023-2027 Strategic Plan’s dedication to empowering a new generation of farmers and agribusinesses.
“Through innovative financial solutions, strategic collaborations, and an emphasis on technological advancements, we aspire to drive sustainable growth and development in the agricultural sector,” said Mruttu.
Country Director of FSD, Tamara Cook, expressed commitment to supporting AFC in implementing its Strategic Plan. Cook highlighted efforts to align AFC’s business models with the BETA Agenda and develop innovative financing solutions using digital technologies for farmers and agri-MSMEs.
“AFC’s new strategy will not only enable the Corporation to create a robust loan offering of for the agricultural sector, but also forge key partnerships with agriculture sector players, ensuring finance can significantly improve the livelihoods of smallholder farmers,” said Cook.
Looking ahead, the Strategic Plan sets the stage for AFC to propel the agricultural sector to unprecedented heights, contributing significantly to building sustainable agri-food systems in Kenya.
With determination, AFC anticipates that this Strategic Plan will address current challenges and pave the way for a resilient and prosperous agricultural future.