Smallholder farmers face many challenges in accessing financial services, linked to limited incomes, a lack of collateral, or simply due to their remote location. The financial service providers we partner with, such as savings and credit cooperatives, work at the heart of local communities and are an essential part of sustainable development. The loans and savings products they provide enable farmers to invest in seeds, fertilizers, and equipment, ultimately boosting their productivity.

Rabo Foundation works with financial service providers in emerging markets to help them become strong and well-functioning organizations. Thanks to these improved services, farmers can invest in their businesses and generate better revenues, thereby strengthening their economic position. For example, these three financial institutions in India and their unique guarantee program.

Smallholder farmers play a crucial role in global food security, producing approximately one-third of the world’s food supply. However, a lack of access to quality seeds, fertilizers and other essential inputs limit the quantity and quality of what they can produce. To address these challenges, smallholder farmers are uniting, joining cooperatives or selling their crops to organizations offering favorable terms. Though these companies are doing positive work, standard banks often view them as too small or too risky for financing.

Rabo Foundation was specifically founded to fill this void. We offer these companies funding and services to help them become stronger and more professional, so they, in turn, can offer better services to smallholder farmers. For example Sommalife, in Ghana, which provides shea farmers with resources so they can produce a high-quality crop at scale.

Climate change poses a significant challenge. Rising temperatures and unpredictable weather impact crop yields, threatening farmers’ incomes and global food security. Agricultural enterprises play a crucial role in enhancing resilience by providing resources, knowledge and access to climate-smart practices.

Rabo Foundation funds organizations that enable farmers to invest in climate-smart agriculture, for example, providing technology that predicts changes in the climate, or training on adaptive techniques like intercropping and agroforestry. An example is APOMS, in Brazil, which teaches farmers agro-ecological practices.

Last year, inequality in the Netherlands continued to grow. A rising number of people lacked access to job opportunities, which hampered their sense of belonging. Social enterprises strive to bridge this gap by creating meaningful employment and fostering inclusion. In addition, we see that sustainable use of resources is increasingly decisive for a future-proof planet. In line with this vision, we have supported 9 circular projects in 2023. By encouraging sustainable projects we contribute to a greener future. Despite their positive impact, social enterprises faced their own challenges. Such as inflationary pressures that created major challenges. Many entrepreneurs struggled to maintain financial stability.

Recognizing their importance, Rabo Foundation stepped in to provide both financial support and knowledge. Strengthening these enterprises ensures their resilience and positive impact.