17 November 2022
European Investment Bank confirms €500 million loan to IFAD to invest in global schemes.
THE European Investment Bank (EIB) is to lend the UN’s International Fund for Agricultural Development (IFAD) €500 million in support of IFAD’s programme of targeted loans to improve food security and reduce poverty in rural areas.
The new EIB financing will assist small-scale farmers to adapt to climate change and cope with the current global food, fertiliser, and fuel crisis and is part of EIB’s aim to increase cooperation with clients, EU Member States, development finance institutions, civil society and other partners under its recently-launched EIB Global programme. IFAD is the only UN agency that focuses exclusively on investing in rural areas and small-scale farmers.
“IFAD is an assembler of finance for the benefit of rural communities. With global hunger and poverty alarmingly on the rise amid multiple compounding crises, the loan comes at a critical time. It will help IFAD multiply its impact on the ground supporting the poorest people living in rural areas,” said Alvaro Lario, President of IFAD. “To meet the growing need for funds, we are diversifying our funding sources and increasing our borrowing programme.”