Africa Pushes for New Agric Finance Model, Local Processing
Participants at the ninth edition of Agriculture Summit Africa (ASA), have agreed that Africa must move beyond producing raw commodities to owning the processing, storage, trade and finance that capture
At the ninth Agriculture Summit Africa, delegates agreed that Africa must shift from producing raw commodities to owning the processing, storage, trade, and finance sectors, in order to capture value locally. The finance industry needs to be redesigned to accommodate the lengthy cycles of agriculture. According to the Minister of Agriculture and Food Security, Senator Abubakar Kyari, Africa spends over $100 billion annually importing food it can produce.
Dele Faseemo, Group Executive at Sterling Bank, warned that food security is equivalent to national security. He urged the sector to move from potential to execution, transforming ideas into scalable solutions and coordinated action. Idi Mukhtar Maiha, Minister of Livestock Development, pressed for finance tailored to biological assets, stating that traditional short-term, high-interest loans do not suit animals that need to be bred, fed, and mature.
Dr. Olushola Obikanye, Sterling Bank’s Group Head of Agric Finance and Solid Minerals, emphasized that Africa's challenge lies not in its land or harvests, but in utilizing them effectively. He argued that agriculture has been perceived as a production-focused sector for decades, rather than one aimed at converting potential into productivity and power.
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