The agricultural sector in Africa remains significantly under-invested, but more support from international lenders and investors will come with stringent environmental, social and governance (ESG) requirements.
Investment in agriculture in regions like East Africa is already growing. Here, economies are primarily agriculture-based, with the sector contributing an average of two-thirds of GDP and providing jobs to the majority of citizens.
As one indicator, investments in agricultural technology (AgTech) in this region – focused on Kenya, Uganda, Tanzania and Rwanda – rose from almost zero in 2001 to USD425-million between 2015 and 2017[i].
With some 60% of the world’s uncultivated land, Africa generates only 10% of global agricultural[ii] produce – signalling the significant potential of agriculture to lift the continent’s economies.
Taking advantage of its comparative advantage, however, will need a firm commitment to sustainability, according to SRK Consulting partner and principal environmental consultant Darryll Kilian.
Read the full article in Why Africa
