Addressing the growing challenges that the agribusiness sector faces in the EBRD regions, the Bank has launched its new strategy for the sector for the period 2019 to 2023.
Population growth and shifting dietary requirements are predicted to lead to a 50 per cent increase in food demand by 2050 which will have a clear impact on finite natural resources and the environment.
The EBRD’s new agribusiness strategy recognises the diversity of the economies where the Bank invests and responds to a changing environment by adopting a responsible, sustainable and innovative approach. The EBRD stands ready to support its approach with finance, technical cooperation and policy engagement. The Bank’s involvement in the sector extends from primary agriculture along the entire value chain.
Natalya Zhukova, EBRD Director for Agribusiness, welcomed the approval of the document by the Bank’s Board of Directors: “The EBRD is the largest provider of finance to the agribusiness sector in its regions of operations. Food plays a fundamental role in our lives and an innovative mind set is needed to move towards a sustainable future in this sector.”
The document recognises the need to find a balance between demand for agricultural produce and the impact that production processes often have on the environment. The strategy will be implemented with a tailored approach along the entire value chain to efficiently increase food production and preserve natural resources while reducing the environmental and social impact of agribusiness.
In the economies where it invests, the EBRD is the most active multilateral institution in the agribusiness sector. The strategy will be implemented with an approach that is tailored to each of these economies.
Between 2010 and 2017 the Bank invested €6.7 billion in 447 projects across the agribusiness sector, which represents 8 per cent of the EBRD’s cumulative annual investment over that period.
SUBMITTED BY By Nibal Zgheib